Clarification Needed on Revised Cost Appearing Higher Than PO Value

[rohini_dutta21]

Hello Experts,

We are seeking clarification regarding the calculation of Revised Costs in SAP S/4HANA Public Cloud.

In one of our cases, we noticed that the Revised Cost (TC) for a line item appeared higher than the corresponding PO value in the previous month. In the current month, the system has adjusted the amount. We would like to understand the system logic behind this behavior.

Could you please help clarify the following:

1. Under what circumstances can the Revised Cost become higher than the PO value?

2. Is this based on standard SAP logic, possibly influenced by accruals, actual cost updates, cost adjustments, or period-end activities?

3. Is there any configuration or recommended activity from our end to ensure alignment between Revised Cost and PO amounts?

Any insights or pointers to SAP documentation or SAP Notes would be greatly appreciated.

Thank you!

[Chris1973]

Good day @rohini_dutta21 

Thank you for your question.

Have a look at the following reference.

https://help.sap.com/docs/SAP_S4HANA_CLOUD/f369b2eff700401494ba6e7c9a573288/e744f2b8eb23465fa93e058f...

Answer to question 1: The Revised Cost can become higher than the PO value when actual, accruals or estimated deviation are factored into the cost.

Answer to question 2: Yes, this behaviour is considered standard and it is linked to cost monitoring logic. SAP adjusts the value dynamically as more information becomes available.

Answer to question 3: For accuracy and to ensure alignment between Revised Cost and PO amounts, I recommend you regularly reconcile POs, invoices and actual costs, monitor your projects or cost centers (Actual/Plan/Commitment). Also review your Accrual Management Settings if you have enabled it and align GR/IR clearing and invoice timing.

Let me know if you have further questions.

Best regards

Chris

[rohini_dutta21]

Thank you for the earlier explanation. We have a follow-up query based on our client’s requirement. We would like to understand the technical logic behind the Revise Costs (TC) percentage exceeding Total A/D Amt (TC) in the Review Purchase Order Accruals app. 1) Does the system technically allow posting more than 100%? From our testing, the system allows increasing the revised cost percentage above 100% (for example, from 100% to 130%). We also see that the system only triggers a warning message, not a hard error. Our question is: Is this standard system behavior in SAP Public Cloud? Does SAP intentionally allow posting more than 100%, or is there any other internal trigger behind this behavior? 2) Can we configure or restrict the system to prevent crossing 100%? Our client wants to know whether we can add any control so that revised costs cannot exceed 100%. We are aware the system issues a warning, but we would like to confirm: Is there any way (BAdI, extensibility, SSCUI, configuration) in SAP Public Cloud to convert this warning into a hard stop? Or is the warning the only possible system control?We want to ensure that our understanding aligns with SAP standard logic before advising the client. Any confirmation or additional insights from experts would be highly appreciated. Thank you.