IO Settlement issue - FULL SETTLEMENT Vs Partial Settlement

[Former Member]

Hi All Experts,

I have issue where I am getting error while closing IO " Balance is not ZERO".

When I went to KOB1 to check out IO balance looks as below.

When I am double clicking on 2nd line item it is taking me to MIGO screen. How MIGO can be posted to IO with 101 movement type ? As it is posted I can see in system , that too with CR symbol... How is it possible ? 

If I assume that this is settlement line item  out of 27,146 EUR's it should show me any document related to FI or CO... why it is taking me to MIGO again ?

As well if I say this is settlement entry this cost element is not at all maintained in my Allocation structure ! ( Please refer a screen shot ).

Then from where that GL 11000801 is getting picked up ? I have full settlement rule in my ORDER master data... still system has done partial settlement....

Any expert guidance ?

Regards,

Sharu......

[suma_mani · Accepted solution]

Hi Sharu,

Send both line item screen shots with accounting entries. If you procure goods against IO,it should take 101 movement type and entry as follows.

Goods consumed getting ...........Dr ( P&L Account)

    To GRIR account.............Cr....

Anyway send screen shots for further analysis

Regards

Mani

[Former Member · Accepted solution]

Dear Mani,

Please find attached screen shot.

Line 1 

Line 2

Please let me know if you need any more information.....

Regards,

Sharu....

[narasimhulu_konnipati · Accepted solution]

Hi Sharu,

Please provide us the screen shot of PO Account assignment tab along with Account assignment category details.

Thanks

[Former Member · Accepted solution]

Hi NSK,

Please find attached screen shot from PO.

If you need anymore details please let me know .

Regards,

Sharu...

[narasimhulu_konnipati · Accepted solution]

Hello Sharu,

1. The G/L Account 11000601 was assigned by the user at the time PO creation. That is why you see it in GR posting.

2. You entry is correct as per your screen shots,

Consumed FG A/c DR  (Order) 11000601

GR/IR A/c CR    

You are booking your consumption to IO through the GL 11000601. So this is not a settlement document. Now, you can settle to a cost center if it is an expense or to an AUC further to Final asset.

Check it once let us know for further doubts

Thanks

[Former Member · Accepted solution]

Dear NSK,

System is hitting 11000801 not which is maintained in PO. Thats the concern ! Then from where that 2nd line item GL picked up ? ( As you can see in VERY FIRST SCREEN SHOT )

As I have checked the allocation structure cost element is maintained no seeing in 2nd line item... Hence I cant say it is settlement activity done here ... right ?

Ok. Just let me know from where I can check :

Whether that IO has been settled or not ?

If settled , then what all document are got posted ?

If receiver is material then how can I check RECEIVED COST to material ? is there any report ?

Appreciating experts guidance !

Regards,

Sharu....

[narasimhulu_konnipati · Accepted solution]

Please provide us the second line item accounting document with all parameters covered like Order....etc

Also, check Source structure in IMG for this.

Thanks

[Former Member · Accepted solution]

Hi NSK,

Please find attached screen shot.

Source is totally BLANK.... And Accounting document view for 2nd line item...

order is Credit level... though it is 101 GR.

Regards,

Sharu.....

[suma_mani · Accepted solution]

Hi Sharu,

NSK sorry to intervene

First entry Good purchased against consumption account assignment category. Just go to purchase order of above entry > Take account assignment category > Go to OME9 settings > Double click on that settings > Where you can see Consumption posting field filled with V.

If filled with V means, it should be consumption posting. ( I mean P&L getting debit )

I hope first entry is clear to you.

Second entry :-  GR against Production order.

Material GL account..........Dr

To Cost of Production account.......Cr ( This line item posted against IO)

As far as entry is perfect. But why do you receive materials against Internal order.

You are not yet settled those expenses to secondary cost element ,which you specified in above customization. Remember no accounting entry will post for settlement,however you transfer the cost to secondary cost elements. ( There is CO line item passed between cost to secondary cost elements)

Regards

Mani Kumar

[Former Member · Accepted solution]

Hey Hi Mani,

Your study sounds perfect !!!

What is the significance of maintaining of V in OME9 . I am totally unaware of this part of configuration.. As well GR on Production Order is I am completely unaware... What is business associated with GR on Production Order ? Is it different than normal GR ?

As you said earlier V means consumption - and system debits P & L Account debit... what means this.... ?

Can you please guide me on both understanding points.... It would be great guidance...

Regards,

Sharu...

[suma_mani · Accepted solution]

Hi Sharu,

Maintain account assignment categories ,which is part of MM customization where MM consultant can create the account assignment categories ,which will enter while creating the PR / PO's ,if materials procured against sales order / cost center / Internal order / Projects like that.

If you are not enter any account assignment category and item category while creating the PO > Balance sheet account getting Debited along with GRIR Clearing account getting credit.

If you procure materials against account assignment category & consumption indicator as V.

Profit and loss account getting Dr along with GRIR clearing account getting credit.

Significance is :- Nature of postings will change as mentioned above depends upon consumption indicator

Second Query :-  Both GR's are same. One from against Purchase order and Other is against production order. Production order will create for to produce the goods internally and Purchase order will create for procure the materials externally.

Regards

Mani

[Former Member · Accepted solution]

Hey Hi Mani,

I understood the consumption postings...

But still unfortunately GR on Production order not cleared....  Can you please explain with some example...

Regards,

Sharu...

[suma_mani · Accepted solution]

Hi Sharu,

In SAP ,Production planing persons will create Production order / Process order to manufacturing the goods > In controlling point of production order is cost collector > In PP point of view ,production order is just indent to produce finished goods with some specifications like Bill of Material and Routing. Against same indent ,stores people issue the RM to shop floor  people.

While consume the raw materials to produce FG mentioned entry will pass

Accounting Entry as follows :-  Movement type is 261 ( Standard)

RM Consumption account .........Dr

   To RM Account.............Cr

After produce the FG > You have to receive the those materials from shop floor ( Production location) to your books ( Confirmation of production order)

Standard Movement type 101 (Standard)

FG Account.........Dr

   To Cost of Production account.........Cr

Hope it is clear But it is pure layman language

Regards

Mani Kumar

[Former Member · Accepted solution]

Hi Mani,

I understood your explanation ! Thanks for the same.

Please find attached screen shot posted after GR in PROD ORDER. is this correct behaviour ?

Please let me know about correctness of my understanding :

Both accounts are picked up from BSX & GBB ? If not then where ?

in GBB GENERAL MODIFIER is used AUF against Valuation class ?

so that system will pick accounts as below at the time of GR on PROD ORDER :

Finished Goods A/c Dr ( GBB + AUF )

     To Raw Material / Semi Finished Goods (  BSX + Val Class )

is my understanding correct ?

Regards,

Sharu....

[suma_mani · Accepted solution]

Dear Sharu,

I hope that your business is manufacturing the vehicles > Entry is seems OK.

FG New Vehicle GL account should be Balance sheet GL account & deriving from BSX  transaction

Material to New inventory GL should be Profit and loss GL account & deriving from AUF

Regards

Mani Kumar

[Former Member · Accepted solution]

Dear Mani,

That's perfect !!!!!!

Regards,

Sharu...