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Cost Component Structure in COPA

Hi All -

I am a confused about what the cost component structure does in copa and how is it different than the profitability transfer structure. I have read and searched forums, but I can't find a good explanation. Sorry for the open-ended question, but I can't really make sense of this yet. I am pretty sure I thought I knew how the pa transfer structure works, but to me, the cost component struture accomplishes the same thing?

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1 Answer

  • Best Answer
    Apr 06, 2011 at 03:09 AM

    Hi

    CCS is used where your stock is valuated and Sales order is not a CO object.... When you do the Billing from SD - The Billing Qty is multiplied by the Std Cost (With its Cost Comp Split) and the COGS is posted in COPA....

    Hence, in FI you see one single value of COGS (Say, 100 USD), where as in COPA you see its break up (70 raw mat, 20 labor, 10 overhead)

    PA Tramsfer Structure - Is used during settlements...

    i. Setllement of Prod order variances to Costing based COPA

    ii.. In MTO scenario, where Sales order is CO object - It is used to settle the revenue and Cost of Production to COPA... In such cases, the prod order is settled to Sales order..... The revenue is also posted on sales order.... FInally, both revenue and cost are settled to sales order...

    Hence, PA Trf Str is used to mapp the Cost elements to Value Fields....

    You can design your PA Trf Str in such a way that it represents your Cost Comp Structure.... i.e. You can have assignments for RM, Labor, Ovh in PA Trf Str and assign each of them to separate value field

    br, Ajay M

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