Cut Off Period in WIP (Tr KKA0)

[Former Member]

Hi all,

I wanted to know the relevance of setting Cut off period in WIP.

Tr Code KKA0.

Thnx n Best regards

Nikhil

[ravi_nagh · Accepted solution]

Hi Nikhil,

Your question is not clear. Please explain it some more.

Regards

Ravinagh Boni

[former_member184627]

Hi Nikhil,

If you get the appropriate solution, reward all the useful answers & close the thread.

Regards,

Senthilkumar SD

[Former Member]

Dear Nikhil,

http://help.sap.com/saphelp_470/helpdata/en/90/ba6609446711d189420000e829fbbd/content.htm

That a cutoff period is defined to protect the data of the previous period from being overwritten.

The cutoff period divides the life cycle of the production order into open and closed periods.

The work in process calculated up to the cutoff period is not changed the next time WIP is calculated.

The work in process calculated for later periods is overwritten by the current WIP calculation.

To prevent data that has already been posted from being changed, you usually define the cutoff period as the period preceding the results analysis period.

For a product cost collector, work in process is calculated in May, June, and July. The valuation for July should not change the work in process for May and June.

You set the cutoff period to period 06 and calculate work in process for results analysis period 07.

Hope this will help.

Regards,

Naveen.

[Former Member]

Thnx Naveen.

That means I have to set cut off period everytime before taking WIP run & Cut Off period will be the previous period.

eg.If I have already posted some WIP in the month of April. now that order is delivered in the month of May. So while running May's WIP run I will put the cut off period as April. So it will clear the WIP a/c in the month of May & whatever WIP i calculated in April will remain unchange.

Is my understanding correct?

Thnx n best regards.

Nikhil

[former_member184627]

Hi Nikhil,

The Cutoff period is defined to protect the data of the previous period from being overwritten.The cutoff period divides the life cycle of the production order into open and closed periods.

The work in process calculated up to the cutoff period is not changed the next time WIP is calculated.

The work in process calculated for later periods is overwritten by the current WIP calculation. To prevent data that has already been posted from being changed, you usually define the cutoff period as the period preceding the results analysis period.

Regards,

Senthilkumar SD