PO settlement in Product Cost by Sales order

[former_member440907]

Hi Friends,

I have a problem in PO settlement in Product cost by Sales Order scenario. PO is settled, accounting entry is posted but variance is not settled to COPA. In PA transfer structure A1 variance categories are mapped to value fields. Settlement profile checked ' settling to costing based copa'. Settlement receivers, Material allowed, PSG required, sales order item Not allowed. Stock is valuated.

When checking KKA3 for the sales order total cost can be seen. Settlement shows only accounting doc and co document. CO document shows SDI and credit to sales order item.

My plan is that PO variance should be settled to COPA and later Sales Order should be settled to COPA.

Both account based and costing based copa is enabled.

Kindly advise how to correct the issue.

Thanks and regards,

Ramesan N

[Hemanthkumar]

Dear Ramesan,

Assuming that your scenario is Valuated stock with sales order as cost object, settlement of variances can be done in two ways

1. Settlement of production order variances directly to COPA (CO88)

Here , we should not create variance account as CE and need to flag the Variances to costing based copa checkbox in settlement profile

2. Settlement of production order variances to sales order (CO88)

In this case, we need to create variance g/l account as CE and need to Deflag the variances to costing based copa.

3. If settled to sales order, sales order settlement to copa is done via VA88.

Considering costing based copa, above approach is applicable and makes sense as it seems you were mapping to value fields. From account based copa , am not aware of it.

Btw, kka3 results analysis calculation does not generate any entries .

Best Regards,

Hemanthkumar