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Assign Cost Object to Bal. Sheet Account???

Former Member
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Hi experts;

     I found at my customer site that they set the fields of WBS element, Cost Center, Profit Center and Network are applicable with Bal. Sheet accounts at the time of Document entry like F-02.

     When I discussed with them that the B/S accounts should not be linked to any cost object and cost objects are only for the P/L accounts they said yes that is right in general, but they do that with some certain accounts like the Accrued Revenue to know exactly how much is expected to be collected from each project.

     But also as far I know that through the Document Split function on system I can get such result because if we assigned a Cost Obj. to a P/L account the system assign it to the other line of the document entry if it is B/L account, but I did not practice the Doc. Split before.

     So can someone kindly advice wither such process is correct or not? and if not, does it has any wrong impact if they insisted to do it? And does the Doc. Split can really help in such matter?

Many thanks in advance;

Best regards;

Ahmad Mahmud;

Accepted Solutions (1)

Accepted Solutions (1)

jose_reddy
Contributor
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Hi Mahmud,

Yes it is right, in certain cases even balance sheet GL accounts are also made as CE especially in project based.

Here we use CE category 90 to make B/S GL accounts as CEs. These postings are normally of statistical nature when it comes to CO part and these are much more required for budgeting part.

I strongly feel that by document splitting, the cost objects will not be assigned from one line item (where cost object is maintained) to other line items (where cost object is not maintained). I hope only profit center is assigned.

Regards..

Jose

Answers (4)

Answers (4)

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Hello Ahmed Mehmud,

Can you Please let me know how did you resolve your above issue as even we have same problem that we need WBS Element on Advance Revenue GL Account which is nothing but Customer Recon Acct.

Not only this our Client need to park such an entry so that someone else can post same. Their is maker/Checker concept here.

So All experts in SAP Please do let me know how we can bring WBS element posting with posting key 19 Special GL Indicator and Customer line item.

Regards

Tanuja Naik

Former Member
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Hello Mahmud,

Creation of certain Balance sheet accounts as "90" cost element for tracking purpose looks absolutely fine. I don't see any issue in Controlling due to this, as it will do only statistical postings which cannot be re-allocated or settled.

Document splitting will assign only Profit center of off setting line item, it does not work for Cost objects.

You can use it if the analysis is at Profit center level. If it has to be seen at Cost center, WBS or internal order then this does not work.

Thanks & Regards,

Muneer Ahamed

Former Member
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Hi Muneer Ahamed,

Thanks for sharing the info on splitting on cost objects not being possible.

Regards,

Szymon

Former Member
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Hi Ahmad Mahmud,

The below is taken from SAP Note 75978 - Cost element type 90

"Cost elements of category 90 were introduced with 3.0 to enable an availability control on an internal order assigned to a fixed asset even with directly activated asset acquisitions. This functionality is guaranteed by SAP and will be enhanced by the planning of these cost elements in Release 4.0.
The check, however, that cost elements of category 90 can only be created for asset reconciliation accounts, has only been made since Release 3.0F. Before, it was possible to create any balance sheet accounts as cost element of category 90. Since cost elements created this way were not covered by functionality provided by SAP, various errors may occur when you post to these cost elements."

As you can see SAP does not support cost element type 90.

However I used them on e few projects and never have any problems.

Just to give you an example of the reasons they are sometimes needed:

- you need to record production quantity in CO-PA. You will create cost element type 90 for your inventory account. Every GR from production order will update quantity in CO-PA.

The question about splitting is quite ineteresting.

Maybe one of the NewGL experts can help you here.

Regards,

Szymon

Former Member
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Dear Mahmud,

Normally, Cost Object like Cost Centers, Orders or WBS Elements can not be assigned to B/S Account. Because B/S account is related to Cost.

Regards

Adi