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Production Order Settlement & Profitability analysis

Mar 12, 2017 at 06:36 AM

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Dears

When we settle our production orders, the settlement price difference is posted to a default Cost Centre defined in OKB9.

We have material ledger active in our system and we will do the material ledger closing after the production order settlement.

I am confused at the following point:

When we do the material ledger settlement, the variances will be updated in the stock records and also the consumption and this is also updated in COPA through costing keys with actual cost.

My doubt here is : if the actual cost (variance adjustment) is reflected in COPA after the material ledger settlement, what will happen to the price difference entry posted in the default cost centre which I mentioned in the first sentence ?

If I do an assessment from this cost centre to COPA, it will be a duplication to the value already updated in COPA, right ?

Please help me to understand this.

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