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Former Member
Apr 27, 2011 at 06:33 AM

Raw material cost estimates


HI experts,

Currently we have the following scenario:

There are some raw materials which are procured externally, and these materials are maintained with price control S

Well, the problem is that the standard cost for the material consists of a few more components, for example:

The standard price for the material X is 20 USD which consists of:

- the price of the material itself : 15 USD

- the import duty : 5 USD

let's say if the actual import duty happened during IR is 6 USD, how can we get the variance from the difference between the import duty? I am unfamiliar with raw material cost estimate, but seeing that the import duty will be captured using condition type in PO, i assumed that we can use raw material cost estimates with this, and use the COPA report with record type B for this case.

Could anyone give any suggestions regarding this case? It is better if it comes with step to step guide.

Thank you very much in advance