subcontracting issue

[Former Member]

Dear Friends,

We ar procuring a printing material as service (as we dont want to maintain the inventory) say X with MAP .90 INR

and we are having FG say A and its compoment B with MAP 10.00 INR

we are procuring A from a subcontracting Vendor by providing B component with service charge of 2.00 INR, my systems calculates the MAP of A as 12.00 (10+2)

and as per our requirement the MAP of A should be 12.90 (102.90), Please let me know what procedure i need to adopt to consider missing 0.90 INR here.

regards

dmti

[Former Member · Accepted solution]

Hi SAP Expert.

i think you are confusing yourself and all others as welll.

Point 1 - MAP will be only for Materials. Service will not have MAP.

Point 2. - printing materials are not service.

point 3 if you subcontract, the scenario is correct.

if you need 0.90 to be absorbed in A, then you need to take the concept of FAC.

FAC is Factory Absorption Cost.

CK20 or some thing like that. there is a Tcode in CO Module which has a formula to derive a FAC for a material which includes all like labour charges, printing materials.. all.

Total cost of material we assume will be 12.90 as you want. but break up will have FAC.

please consult with a CO consultant before proceeding.

i explained MM Scenario. let me know if you have any doubts in MM

[Former Member · Accepted solution]

Dear Raghav,

thanks for the reply,

i know MAP will be only for materials,

and we have long practise of printing material getting thorugh service and they dont want to change it.

only thing the service charge (printing material) which they paid to vendor should get invetorized into Final product.

[Former Member]

answered