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Former Member

COGS difference between COPA and FI

Hi,

Our client is having two Product Costing scenarios 1.MTO (Sales order is not a cost object with valuated stock) and 2.MTS (With Production order)

1.In MTO scenario

I mapped sales order cost estimate to CO-PA. But in FI, it is posting different amount.

As per my analysis, the GR for the production order (relevant to sales order) is happening at the value of Preliminary cost of the production order.

The same value is coming while we are doing PGI.

Say sales order cost estimate = 100 (flowing to CO-PA at the time of billing)

Preliminary cost of Production order relevant to the sales order = 110

Goods receipt from the Production = 110

Goods delivery to the Customer (COGS) = 110 (flowing to FI at the time of PGI)

So here the difference of Rs.10 is arising when we compare FI and CO-PA. In requirement class 'Without valuation strategy' check box was not selected.

2. In MTS scenario

Goods receipt from the Production order = Say Rs.120 (Valuating at standard cost)

Goods delivery to the Customer = Rs.120 (flowing to FI at the time of PGI)

Sales Order Cost estimate = Say Rs.100 (flowing to CO-PA at the time of billing)

So here the difference of Rs.20 is arising between CO-PA and FI.

Please guide me the steps to get the same amount of COGS both in CO-PA and FI.

Regards

Madhusekhar Gupta

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2 Answers

  • Best Answer
    Posted on Jun 12, 2012 at 08:43 AM

    Hi

    I dont know why are you experimenting with the system

    In MTS Scenario - You dont at all need a Sales Order Cost Estimate... Why did you take it to COPA?

    In MTO Scenario - At what value you want to valuate your inventory??

    You have 3 choices here---- i.e. Use Std Cost (Say 95), Sales Ord Cost (100) and Prod Ord Cost Estimate (110)

    Std Cost is used if you choose W/o Val Strategy in Req Class - You have not done this... So it boils down to 100 and 110...

    Now SAP is configured to fetch the Cost estimate from User Exit COPCP002 as a 1st choice, followed by Marked Sales Ord Cost Estimate, followed by Prod Ord Cost Estimate, followed by Std Cost Estimate... If none of these is successful, it issues an error..

    You need to decide at what value you want to valuate inventory.. If you want to valuate at 110 (Prod ord cost estimate), you can map VPRS to COPA which will have 110 in this case..

    br, Ajay M

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  • author's profile photo Former Member
    Former Member
    Posted on Jun 12, 2012 at 09:13 AM

    Hi Madhushekhar,

    If I understand you correct, in your MTO scenario you are not kee´╗┐ping sales order line item as cost object and putting the FG into valuated stock like MTS then the following should be checked:

    • In none of the above cases you need sales order cost estimate to flow to COPA. Plz remove this setup. Plz ensure VPRS is mapped to COPA to allow Std cost of material to flow to COPA.
    • Ensure that FG material is at std cost and std cost is done fine.
    • Special stock indicator is removed from requirement class used for MTO
    • Requirement class for MTS is TAN ( SAP delivered).

    Hope this helps.

    Regards,

    Sarvo

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