Internal Order for Miscellaneous cost to material

Dear Experts,

I need your suggestion on below point.

We have some miscellaneous cost which needs to be settled to material.

Example: If the value of the 10 qty of material is 100 and miscellaneous cost for all this material is 10 then as per the requirement the material price needs to be 110(11 each).

To meet this need I planned to use internal Order with the settlement category as MATERIEL(MAT) and maintain the material in the settlement profile.

I am getting the below error when I try to maintain the settlement rule.

'Distribution rule for Material can only be created automatically Message no. KD063'

Also this is not a production scenario - we donu2019t have PP.

I am also not very sure on my approach.. Any suggestion on my solution approach?

Appreciate your time on this.

Reagards

Paul