Standard cost in hard currency

[Former Member]

Dear All,

Our company code has a hard currency configured.

Material ledger is activated in both company code currency and hard currency.

Our controlling area currency is same as company code currency.

Now when we do the costing, the standard price in hard currency in material master is getting calculated on the basis of exchange rate M maintained on the costing date instead of exchange rate "P" which is there in costing version.

Secondly, the COGS during billing in hard currency is not getting picked up directly from material master but is calculated on the basis of M exchange rate maintained.

Is this SAP standard behavior? Any pointers on this would be appreciated.

Best Regards,

Gaurav

[Former Member]

Dear Guarav/Dear Experts,

I am facing the same issue as I need to see my Standard cost estimate in Hard currency, but I have not activated ML yet, so I am wondering which option should I use to activate the ML as there are a few of them (refer to the below explanation)? I just need the ML for this reason, not for any other reasons. In our SAP system we have exactly the same structure Company Code and Controlling Area currency is the same type 10 and it is EUR and additional Hard Currency in our Company code.

Could you please clarify the few points below in your message saying "We activated ML".

1) How have you activated it?

- ML activated using multiple currencies ONLY (Price determination 2)

                                OR

- ML activated using multiple currencies and actual costing (Price determination 3)

AND which one of the below options

0 No activity update

1 Activity update not relevant to price determination

2 Activity update relevant to price determination

2) Based on your answer from 1) when you say "When we do costing"

- Do you mean when you do your Standard cost estimate?

                               OR

- Do you mean when you do your Actual cost estimate?

I will appreciate your answers and thanks a lot in advance!

Regards,

Georgi

[Former Member]

Hi Gaurav,

Have you defined the currency types in Material Ledger? Please check if OMX2 has already been set up correctly.

Also, please go through the following OSS notes:

1. 526623

2. 374496

The above notes should give you a pretty good idea on how to deal with parallel currencies with ML active.

Kind regards,

Teck

[Former Member]

Hi Teck,

Thanks for your response. ML is activated properly in OMX2, for us ML is activated in company code currency (currency type 10) and hard currency (currency type 40). Also had checked the above SAP notes.

The problem here is the hard currency COGS amount during billing is not getting picked up directly from material master. I think it might be because costing results in CK40N are only in Company code currency and controlling currency, like if I go and see in CKMLPR table, I can see that CKMLPR-KALKL field (currency cost estimate) is not available for currency type 40, only available in currency type 10.

Any idea if COGS picks up date from material master only if cost estimate is available in particular currency.

Best regards,

Gaurav

[Former Member]

Hi Gaurav,

I am still checking out this case. Just a question - is your hard currency defined as 2nd or third currency? Please also advise your currency key and currency type defined in FI and CO. Thanks!

[Former Member]

Hi Teck,

Thanks. Hard currency is defined as 3rd local currency. There are 3 currencies defined in FI, currency type 10, 30 and 40. Currency type 10 and 30 are same as USD. The currency for controlling area is defined as currency type 30 (USD).

Best Regards,

Gaurav

[Former Member]

Hi Gaurav,

Thanks for the details. The amount in the third currency is always translated from the average rate (M) per standard SAP.

You can find the details here:

http://help.sap.com/erp2005_ehp_07/helpdata/en/6a/5eb6531de6b64ce10000000a174cb4/content.htm?framese...

I'll check if there are any enhancements which you can apply and let you know.

KR, Teck

[Former Member]

Hi Teck,

Thanks for your support. We have find 1 enhancement point for billing to accounting interface and currently testing the changes that we have put.

Many thanks.

Best Regards,

Gaurav

[Former Member]

Hi Gaurav,

Can you post your solution regarding releasing the cost estimate in hard currency. We are also having a similar requirement, where we want the hard currency should take the standard cost from local currency and apply the budget rate to arrive standard cost in hard currency.

Thanks,

Srini

[Former Member]

Hi Srinivasa,

Somehow our users agrees to have standard cost in hard currency on the basis of existing exchange rate but we did some changes in user exit to have COGS in hard currency during billing to be picked up from standard price in material master.

Were you able to find out some solution for this?

Best Regards,

Gaurav

[ajaycwa1981]

Hi Gaurav

For the 1st issue. OKYD should be the solution. But you are saying P is already maintained in Costing Version OKYD.. Are you sure?

2nd issue - I think it is standard behaviour.. You can use COPA user exits to influence the system behaviour. Go to T code SMOD, type COPA* and press F4.. You will find a user exit that deals with Exchange rates

Br, Ajay M

[Former Member]

Hello Ajay,

Thanks a lot for your response. yes I am sure OKYD has exchange rate maintained as P . But probably it might be because as the costing (CK40N) is happening only in company code currency and controlling currency which is different from hard currency. And the price in hard currency is updated in material master later on the basis of exchange rate maintained in OB22. Any pointers if we can change.

Regarding user exit, I will try to check this. Do you think we would be able to change LC3 exchange rate here?

Many thanks.

Best Regards,

Gaurav

[former_member182339]

Gaurav,

Yes it is standard behavior , Couple of check points

Check which version is used in Valuation variant?

If you work without costing versions, the exchange rate type is determined through the valuation variant (CO version 'T Code-OKEQ' in the valuation strategy for internal activities). if you use Costing versions then it enable you to specify that another exchange rate type has priority (T-Code-OKYD).

Thanks

Hrusikesh

[Former Member]

Hi Hrushikesh,

Thanks for your response. Exchange rate is maintained in costing version as P. But probably it is not happening as the costing (CK40N) is happening only in company code currency and controlling currency which is different from hard currency. And the price in hard currency is updated in material master later on on the basis of exchange rate maintained in OB22. Any pointers if we can change.

Best Regards,

Gaurav