Cost object controlling

[Former Member]

Hi ,

Could you pls let me know  " When does the variance gets posted in cost object controlling from production order "

a) Confirmation of the production order ?

Please advise..

[former_member183818]

variance will be posted after confirmation and order settlement is done. Only order settlement will post variance to respective accounts

[Former Member]

Thanks a lot for your inputs....:)

Ajay

[Former Member]

Hi,

Confirmation of the production variance will not be posted. Once you have done g/r from the production order, if order status is dlv/teco thensystem will calucate the Variance, Till that time there is no variance,

Regards,

Ram

[Former Member]

Hi Ram,

Thanks for the reply and i agree with you, but i have got this question with four options below (it is one of the interview question)

a) Partial delivery of the production order

b) Partial confirmation of the order

c) Final confirmation on the last operation

d) Confirmation of the production order

Which is the correct answer pls advise

[Former Member]

Hi,

Order confirmations is about:

a) declaring the quantity that is produced, the quantity that is scrapped and the quantity that requires reworking.

b) It is also about confirming the total activity hours put in to producing the sub-assembly or assembly thereby deriving the order costs through activity based costing procedures.

c) And it is also about recording the personnel data responsible in producing the stock.

So C is the right option, If you have Milestone g/r at last operation.

Hope you understodd.

Regards,

Ram

[muhammadusman_raza]

d) Confirmation of the production order

Regards

MuR!!

[Former Member]

Thanks a lot for clarifying my doubt....:)