on 2010 Oct 29 8:19 AM
Hi all,
what is the impact if we switch from standard costing to actual costing?
what are the changes is needed in costing?
thanks.
Hello,
Its an nice idea to switch from standard to actual costing. It would be advisable to make this switch over happen in a new period praferably with a new year. You would need to carry out the settings for material ledger / actual costing and for the accounting settings you may refer to sap note 908737.
Not much costing changes would be necessary to the existing configuration but you would need to activate material ledger and allign your Inventory accordingly. The settings for ML would be relatively simple but the main problem would be handling the inventory that you already have in stock. You would also need to have a proper closing procedure followed by next month's planning approach which would actualise the inventory at the end of the month and decide the methodology for next month's plan valuation. It should be kept in mind for configuring ML.
The closing sequence would be as under:
1. Complete all Cost Center and production order postings.
2. Complete all Cost center Assessment / Distribution
3. Calculate Actual rate
4. Revaluate production orders
5. Calculate WIP
6. Settle Production Order
7. Run Costing Run (CKMLCP)
Material ledger is capable of actualising activity costs and WIP as well and you should configure it according to your need.
You can follow the standard SAP documentations for configurations + Note 908737 for configuring ML.
Kind Regards // Shaubhik
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