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Mar 07, 2009 at 07:00 PM

Production order settlement for valuated project stock

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Hi All,

i have a finished good X that is produced as part of VALUATED project stock (account assignment category Q). the material is produced via a production order which is assigned to the "stock" WBS element and the material is received into project stock via GR 101/Q

Question: Where does the production order for this material X settle to? To the WBS element or to MAT?

The SAP r3 help for valuated project stock seems to indicate that the production order should behave exactly as a make to stock scenario (r3 help>PS> material>project stock>valuated project stock) , which leads me to believe that it should settle to MAT.

However, during the various stages of processing of the production order (GI of raw materials and semi-finished materials, and subsequent order labor confirmation) the actual costs on the production order "roll" up into the WBS element in PS reporting. But, when the final GR 101 / Q is done, these "rolled" up actuals on the WBS element disappear, thereby reducing the actual cost on the WBS element by the amount equal to the total cost of the production order

So, it is a little confusing. Where does the production order need to settle to?

What is the business process when we are using production order settlement for valuated project stock?any help is appreciated..

Thanks,

Anusha.