KP26 : Activity Price Calculations mismatch

Hi Gurus;
My client is having some problem with Activity Price Calculations through T.code KP26. The Client didnu2019t have this issue before the upgrade to ECC 6.0. Client actually wants to make the price uniform for all the months. Please refer below for what we need:
Jan Feb Mar Apr u2026
What is needed: 47.96 47.96 47.96 47.96
What's happening now: 46.48 46.49 50.91 44.27
Client is of the view it is because of the default value 1 in the equivalance no. column. Sap has set the default value as 1 for the column and the client is not getting the Uniform price, which he requires. Please Help ....
Regards;
Sumanta

Hi Sumanta,
Can you please confirm if the Material Ledger is activated for the material?
Check also in the material master what you have in field "Price Control", under tab Accounting. It seems that what is happening is that the materials are being valuated as Moving Average Price, and probably that is the reason why the values are being changed every month...
Standard price:
A constant price at which a material is valuated without taking goods movements and invoices into account.
Moving Average Price
A price that changes in consequence of goods movements and the entry of invoices, and which is used to valuate a material.
The moving average price is calculated by dividing the value of the material by the quantity of material in stock. It is automatically recalculated by the system after each goods movement or invoice entry.

Similar Messages

Actual Activity Price Calculation

Dear Gurus,
1. I have defined activity type say "Power" through KL01
2. Maintained the planned price through KP26 for the cost center which is going to use this activity type. say
    cost center is "CCTR1"
3. Now there is something as actual activity price calculation at period end
4. When i execute through KSII i get the actual price which is the debited cost elements of the "CCTR1"
    divided by the Activity Type "Power"
5. The debit balance of cost elements in "CCTR1" is Rs 10000 and activity type consumed through process
    order is 200 KWH, hence the Actual price comes to Rs 50 Rs/KWH. While the planned price in KP26 is
    Rs 6/KWH
How logical is this....
With Regards,
Amit

Hi Amit,
Let me give some insight into the Activity price calculation and cost obsorption from Cost Center to Prodcution
1. Normally we incur the production cost through FI like Direct Labor, Power, Indirect Labour and other indirectct production overheads
2. This cost is posted to Production Cost Centers
3. Now this cost need to be obsorbed to product cost using either Activity costing through Routing or Overhead costing using costing sheet.
Since you question is for Activity costing, let us focus only on activity price and absorption to Product Cost
1. All the direct cost that can be tracked with certain reasonability with activity types can be absorbed through activity costing to product costing
2. Now in your case, take for example - the industry you are working is power intensive, then we can track the consumption of Power using activity costing
3. At the first instance, you need to forcast the activity quantities for the month (based on the production planning)
4. Based on this, you forecast the cost that would be incurred for the expected output
5. Calculate planned Acvitiy Unit price and update it in KP26. The updation can be manual or automatic (using Cost Splitting and Price Calculation in case of Activity independant cost planning)
6. For all the activity confirations to the production/process order, the cost obsorption will take place based on the planned price
Actual
7. The cost of the power will be booked in FI and posted to Production Cost Center for the month.
8. The actual Activity quantity will be booked from Production confirmation for the month
9. At the end of the month, you need to do the actual price calculation. This calculation will be based on the TOTAL COST BOOKED FOR THE MONTH TOWARDS POWER FOR THAT COST CENTER DEVIDED BY TOTAL QUANTITY CONSUMPTION RECORDED IN THE COST CENTER
10. Once this is done, You can revaluate the activity quanitities booked on each of the production order.
This is how the activity cost aborption will take place in product costing
Please let me know if you need further details in this regard
Surya

Actual Activity Price calculation; KSII

Hello,
I am trying to calculate actual activity price but the system does not calculate the price though I have soecified the appropriate price indicator '5' in the Activity type master record.
Any help would be appreciated.
Thanks in advance!

Something doesn't seem right here. You created an Activity Price and plugged in the Plan Fixed and Variable price for the Activity in KP26.
So why are you running KSII now? KSII is for Actual Activity Price Calculation, run at month-end after all your POs have been closed and activities booked.
Can you provide additional info.?
Cheers.

KSS2 KSII Actual activity price calculation

Dear Grus !
I want to carry out actual activity price calculation. I assigned activity type act 100 to act500 to different cost element, and also assigned splitting rule 12.
also entered activity plan price in KP26. cost element planning in KP06.
When I carry out KSS2, system distribute cost of one cost element to activity types according to the target cost maintained in KP06. I want the result that cost distributed as maintained in the splitting rule.
is there any specific configuration that i missed?
Thank you all ~
Lynn

Check whether you have maintained the Equivalence number for the activity type and cost center combination in KP26.
Also you have to run the KSPI before running KSII, because KSII result is the iterative one.
Hope this will help you.
Kamlesh

Activity Price calculation

Hi all
Can anybody tell me how to do the Activity price calculation.
we are doing the activity type planning by using T code KP26
but that has to be done manually,my client want system should calculate the price automatically
First of all can it possible,if yes please let me know the configuration
Thanks
Ansuman

hi
Calculating Actual Activity at Actual Prices
Because you carry out actual price calculation at period-end closing, no actual prices exist at the time of the actual activity posting. For this reason, the initial valuation of actual activity uses plan prices. If no plan price exists (as is the case with pure actual cost calculation), you can post the activity without a valuation. During period-end closing, the system calculates the actual prices iteratively and, provided you have made the required settings recalculates the difference between the plan and actual prices (see the example in Actual Price Calculations).
The procedure for the actual price calculation does not differ from plan price calculation (see: Plan Price Calculation). You can calculate a purely iterative price in the actual, just as for plan price calculation. To do so, select Purely iterative price in the fiscal year parameters of the version.
To calculate the purely iterative actual price, the system uses the actual costs and actual activity for all cost centers/activity types or business processes. The plan prices (whether calculated iteratively or entered manually) are treated by the system like manual settings and are ignored during the calculation of the purely iterative price in the actual. Actual activity inputs are initially valuated with the relevant plan price. This may result in large variances between the purely iterative actual price and the calculated actual price; activity inputs are valuated with plan prices, whereas the credits on cost centers and business processes are based on activity valuated with iterative actual prices.
In the price report (see: Price Report) you can compare the purely iterative prices with the prices calculated through the manual settings. In this way, you can analyze the effects of price changes (in actual, the manually-set prices and the iteratively calculated plan prices) on the complete pricing framework.
for furthur notes
http://help.sap.com/search/search_overview.jsp
nagesh

Actual activity price calculation for production order

Hi
Can any one guide me in how many ways we can assign actual activity price calculation for production order?
I knew only one way by assigning PPP2 costing variant?
I have another doubt is: if we don't mention any material valuation indicator (moving average, standard) in valuation variant, how system will calculate material prices? is there any other way, to recognize the prices by system?
regards,
Ramesh B

Dear,
Costing variant PPP2 is linked to some valuation variant inn OPL1
System will check the valuation of material and activity according to this valuation variant
For material valuation there are many stg acceding to which system will take the price the raw material,
Valuation strategy for material component
Strategy sequence that determines the valuation of the materials used in the cost estimate.
Use
The materials are valuated using the price in the material master record or the values calculated in a material cost estimate.
Procedure
You can enter a single strategy, or you can enter multiple strategies in the form of a strategy sequence. If you enter multiple strategies, the priority of the strategy determines what price or what values are selected.
Examples
Assume that the following strategy sequence is entered for material valuation:
1. Planned price 1
2. Standard price
3. Moving average price
If the system finds a value in the Planned price 1 field (costing view), this value is taken as the value for valuating the material.
If the system does not find a value, the value in the Standard price field (accounting view) is used.
If the material does not have a standard price, the system uses the value from the Moving average price field.
if you have not mentioned, then system will give error that "valuation stg not found"
Valuation strategy for internal activities and processes-
Strategy sequence that determines how internal activities and processes are valuated in costing.
Use
The activities and business processes used are valuated with the prices from Cost Center Accounting or Activity-Based Costing to determine the production costs or process costs. The prices can either be calculated iteratively through price calculation, or entered manually by the user.
Procedure
You can enter either a single strategy or more than one strategy in the form of a strategy sequence. If you enter more than one strategy, the priority of the strategy determines which price is selected.
Examples
The following strategy sequence is entered:
1. Actual price of the previous period
2. Plan price of the previous period
3. The most current plan price
If the system finds a price for the activity type, this price is used for valuating the internal activities. If no price was calculated for the previous period, the plan price from the previous period is used to valuate the activity type.
If the system cannot find a plan price for the previous period, it looks for a future plan price, using the next price in the posting period to valuate the internal activities. For example, if plan prices have been entered for periods 2 and 3, and a plan price is calculated in period 1 for period 4, the system uses the price from period 3 in accordance with the valuation strategy Most up-to-date plan price.
Again if you have not mentioned, then system will give error that "valuation stg not found".
You can use any costing variant for actual (PPP2)and planned(PPP1) according to your requirement.. check in OPL1

Activity price calculation without activity not possible.

Hi,
I got the following error when I execute KSII ;
Activity price calculation without activity not possible.
Message no. KP230
Diagnosis
A program error occurred during activity price calculation. The SAP System could not determine the activity price for activity type 250902 in cost center 25093015 because only costs were entered, not activity quantities. The SAP System calculates the activity price by dividing the costs by the activity quantity.
System Response
The SAP System sets the activity price to zero.
Procedure
Inform your system administrator.
Please advice why the error occured?

Hi SAP Genes,
I am finding an error in One of our Product line "HPI India" where our Cost of Sales Accounting actual COGS cost is very less in comparison with the standard as in the past.as it is marked, as expected as we set it up in the begining of the Year we use Standard Cost we use Aug-July FY, only we are facing this error for this FY 11-12.
Please take a look at the COGS for HPI. which is marked in Blue all these cost are Highlited, The actual COGS cost is very less in comparison with the standard as in the past.
And for rest of the Product Line item is working fine,
Please suggest me the cause, i am attaching the Analysis sheet as well for your guidance.
Regards,
Vijay

CK11N :: Activity Price calculations

Hi Friends,
During the costing run in CK11N transaction, we are facing a little bit issue with activity value calculation. System is providing accurate times as per routings and also displaying correct rate as mentioned in activity, but during calculation, it is making something else value.
e.g. for an activity according to routing system is calculating 0.04 Mins, which is accurate, and displaying activity rates as 148.89 Inr/Hr. According to calculations, system should calculate as
148.89 / 60 * 0.04 = 0.10, whereas system is generating the value of 0.15.
Can you please suggest how system is calculating the values and are we doing some wrong calculation or we have to make some another way for calculating the activity values.
Your kind response is appreciable.
Rgds, Krishan Raheja.

Activity Price is calculated on Interative basis. See whether you have run the Actual Activity price calculation through TC: KSII.
Regards
Kamlesh

Activity Price thru KP26 & KP06

I want a clarification regarding activity price calculation:
- I know that we can manually enter the activity quantity and variable/fixed rates in kP26. If that is the case, what is the purpose of quantity that is entered in KP26 ?
- Other way, we can plan the cost element in the cost centre and later on maintain the quantity in KP26 and do the KSPI (plan run) and the system will calculate the prices. In this case, I hope, system will be calculating the fixed price only. What about the variable price then ?

hi nikitha..
   I am really confused to see the various comments on this issue. Basic requirement is to calculate fixed & variablr price after KSPI run
If you follow the steps below your purpose will serve:
KP06      1-101     Cost Centre Planning - element planning (Fixed value & Variable Value)
      1-102     Activity Distribution to findout Fixed/Variable Price
          if both are required paln Variable quanty
          otherwise Fixed qty
KP26      1-201     Activity Planning (Activity qty)
You have to use both the layout in KP06 & remember the total activity qty you have planned in KP26 that should match you activity distribution in KP06 (1-102 layout)
thanks
kkumar

Activity prices maintained manually..Is KSII/MFN1 possible?

Hi Experts,
We have this scenario:
1. Activity prices are entered manually in KP26.
2. All Costs are maintained as Activity independent costs.
3. For Production Cost centers, some costs (primary costs) are Activity relevant and others not relevant at all for Activity.
4. No Splitting structure maintained so far.
Now, we are considering calculating Actual Activity prices through KSII and then MFN1 for revaluating Process orders.
I tried KSII in our test system, where I got the following error message # KP211. I even tried by maintaining the Actual Activity type category '01' and Actual price indicator '05' in AT master, but no luck.
Short Text
All activity prices are manually entered
Diagnosis
All activity prices in controlling area , fiscal year , and version were determined and set as manually entered prices.
In actual price calculation, all plan activity prices, meaning those calculated automatically (activity price indicator 1 and 2) and those set manually (activity price indicator 3), are treated as if they have been set manually.
System Response
The SAP System cannot calculate activity prices automatically.
Processing is cancelled.
Procedure
Check your activity type planning. To calculate the activity price automatically, you must set the activity price indicator accordingly.
Proceed
Questions:
1.Given our case, is it possible to do KSII/MFN1? If yes, what configuration and master setup is required?
2. What accounting/CO entry posted MFN1. Especially, want to know if value also posted to CO-PA?
Thanks much for your time.
SC

Hi SC, 
 
sorry for my delay. 
 
Yes, you can process KSII even if you maintained planned activity prices manually. For this, the Activity type master should be activity price indicator "5" for Actual, hoever it's defalt value for planning (KP26). 
Could you check activity planning value in your period as follows; 
 
1. Go to transaction KP26 
2. Selection screen; 
 Set your version and year/period and also cost center/activity types in problem. 
 Push Next Layout button (Ctrl + F8) and set layout 1-204 (named "Control indicators"). 
3. Push "Overview screen" (F5) 
 
You can see plan price indicator and also ACTUAL price indicator, so you have to check if actual price indicator is not "7" or "Blank". If not, please set it with value "5" or "6". 
Hope you can understand what I wrote above, but if you have any queries, please feel free to ask me. 
 
Additonaly about your question regarding "activity independent" cost planning 
In F1 help document for field "Equivalence Numbers", there're useful description how activity-independent costs allocates activity type and activity prices calculates. If you do not use cost split or activity-depend planning, you can process activity price calculation by "Equivalence Numbers". it's easy-way to allocate cost to each activity type. you can see this field also in KP26 with layout 1-201 (sample) 
the following passage from field "Equivalence Numbers" F1 document. 
 
- Equivalence Numbers 
Weighting factor for distribution of activity-independent plan costs of a cost center onto the available activity types. 
- Use 
This field group serves to weight the activity types created in a cost center. After weighting, the activity-independent plan costs of a cost center are distributed onto the available activity types. 
-Procedure 
If you want to change or create equivalence numbers in planning, this field must be defined in the planning layout. If this field is not defined, any existing equivalence numbers will be displayed, but they cannot be changed. 
Examples 
You have planned the following activity types for cost center 4420: 
Activ. type Plan quantity Equiv. nr. 
 
FST 400 hrs 3 
REP 50 hrs 1 
RST 20 hrs 1 
 
 Total: 5 
This cost center has planned activity-independent costs worth $20,000 . These costs are distributed according to activity price calculation onto the iteratively calculated activity prices (cost rates) of the activity types: 
ATyp Fixed costs Fixed portion of activ. price 
 
FST 20,000 X 3/5 = 12,000 $12,000 / 400 hrs = 30 $/hr 
REP 20,000 X 1/5 = 4,000 $4,000 / 50 hrs = 80 $/hr 
RST 20,000 X 1/5 = 4,000 $4,000 / 20 hrs = 200 $/hr 
Edited by: Takashi Kotani on Feb 9, 2010 7:55 PM

Wrong actual price calculation

Dear Sap Experts
I'm running KSS2 to split costs into cost centers and getting a value of $ 12.461,66.
Volume of activities is 83,94, according S_ALR_87013611 and KSII.
Thing is that actual activity price given by the system is $ 151,56 and not $ 148,46 instead.
Some idea you could provide in order to investigate it?
Tks a lot, cheers
Patricia

Hi Sateesh,
Pls go through the following example to understand Plan Activity Price and Actual Activity Price:
For Cost Center A, you do Cost Element Planning in KP06 (Ex. Rs.1,00,000). In KP26, you do the planned Activity Quantity (100 Hrs) - you will not update any price in KP26 screen usually . Now, to calculate the Planned Activity Price, you use the transaction code KSPI. The gives the result of Planned Activity Price of Rs.1000 per Hr.
Now, when you confirm the activities in Production Order in CO11n, the activity cost on the Production Order is updated with the Planned Price of Rs.1000. So, by the end of the period, if total actual hrs confirmed is 60 Hrs. ie., total cost loaded onto Production Orders is Rs.60,000.
Now, think of the actual cost that is booked to the Cost Center A (either through FI postings or distribution / assessment from other cost centers). If the actual cost that was posted to that cost center is only Rs.84,000. (Where as Planned Cost was Rs.1,00,000).
Now, when you run KSII transaction code for actual activity price calculation, the system will calculate the actual activity price by 84,000 / 60 Hrs =1,333.33.
This is the way how the system clearly shows and takes care of Under-Absorption / Over-Absorption in cost centers.
Then you run the transaction code MFN1 / CON2 to revaluate your Production Orders with the Actual Price of Activity.
After alll these steps only, you need to settle the Production Orders.
If you settle Production Orders before revaluating with Actual Activity Price, then again there will be some loaded on to Production Orders, so, you have to do the settlement again.
Hope my explanation is clear...
cheers....
SRIKANTH MUNNALURI

Activity type calculation

Hi all
Can any body told me how to calculate the Actual activity price calculation.
Please let me know the details configuration as well as how its work
Regards
Ansuman

Hi
Firstly the cost centre is planned with activity price in KP26. There you can provide for the total activity value (say 600 hours) and then give the fixed and variable price.
You can set the actual activity price manually in KBK6. The actual activity entered would be multiplied by the fixed/variable rates and the actual rates would be calculated.
Hope this helps,
Regards

Error while updating the Actual Activity Prices

Dear All,
While calculating the Actual activity prices under test run (KSII) ,the system is calculating the prices correctly, but when I run the KSII after deselecting the test run ,the system is giving the following error message:
Cost center EE04301000 activity type RWKHRS: costs exist although activity 0
Message no. KP250
Diagnosis
The plan or actual activity for cost center EE04301000, activity type RWKHRS is 0. However, costs were planned or posted in period(s) 1.
System Response
The SAP System cannot calculate activity prices for this activity type as this would involve division by zero. The plan or actual costs are ignored in activity price calculation.
Procedure
Check activity price calculation in planning for activity type RWKHRS in cost center EE04301000 and the costs planned for period(s) 1.
Activity Type Planning
Primary Cost Planning
For activity price calculation in actual, actual costs are allocated onto the activity type through splitting, although no activity posting was made on this activity type.
The scenario is that we have 4 activity types and planned costs/activity qty for all the 4 activities and calculated plan prices and posted actual costs for all the four types. Production Order created and confirmed only 3 activities out of 4 activities. And when we calculate the Actual prices for all 4 activities the system is giving the above said message.
Please suggest as how to solve this issue.
Regards
Subbu

Hi Subbu
The error is very much justified.. If your actual qty for any act type is zero, then division by zero would yield an error during activity price calculatoin
You need to ignore this error, if the zero qty for 4th act type is justified.. System would post act price for remaining 3 act types...
Regards
Ajay M

Iterative price calculation

Hi All
This is my problem after i run the iterative price calculation.
Diagnosis
The activity quantities planned for cost center ABP1-4504, activity SETM45 are not reconciled for period(s) 1 - 12. The plan activity for activity type SETM45 is less than the plan activity input for this activity type through the receivers (scheduled quantity).
System Response
This can lead to incorrect activity prices in iterative calculation. In particular, a divergence in iteration might occur. To prevent this from happening, the scheduled quantity is used as the activity quantity. Because this is a serious error, however, the results of activity price calculation are not posted.
Procedure
Check planning for activity type SETM45 in cost center ABP1-4504 and the corresponding activity input for period(s) 1 - 12.
I went into Activity Output/prices to change the mistake over the Plan Act qty , but even when i save and re-run the schedule acitivity still remain the previous figure and does not update into the new one!! Any idea what is wrong ?
Regards
Happygal

Hello Manish,
I am encountering the same issue. Have you found solution on this.
BR,
Zulfikar

CALCULATION OF ACTUAL PRICE CALCULATION - KSII

Dear Friends,
We are using Make to Order scenario and NOT USING Sales order based costing, I would like to calculate Automatic activity price calculation and revaluate my production order with actual prices (MFN1), for this I need to create & assign splitting rules to cost centers & follow the t.codes KSS2, KSII, KBK7 (DISPLAY) and finally MFN1.
For Calculation of KSS2, how Plan Quantity has to be decided, this because for calculating Operating rate system take the formula as below, whether the below formula is correct?
Actual quantity/ Planned quantity * variable price
If for a cost center, postings are happened in FI for 10000/- then how system calculate & segregate this?
if possible with an small example, when checked in KSS2 it shows the amount of postings from FI with cost elements.
But when we checked t.code KSII it was showing the some different Actual Activity and variable price. How system takes the Actual activity and Variable Price and is there any report to check this?
please guide me
Regards,
Sandeep
Edited by: sandeep jain jain on Nov 2, 2009 4:15 PM

Hi Paolo,
You were exactly right that it was rounding off.
But still am not able to get the calculation working for me.
In Cost Center Report Actual/ Plan it shows
Debit Assessment Cost Element 10000
Credit Machine Hour 458.16-
Credit labour Hour 124.96-
over/under Absorption 9,416.88
This are all actual cost.
When i run KSII the result is as below
Oty Object                        Name                    AUn              Activity Qty Total Price     Price(Fixed) PUnit
ATY MBX273/L1                Testing CCTR         H                 1.666         3,001.20         3,001.20      1
ATY MBX273/M1                Testing CCTR         H                 1.666         3,001.20         3,001.20      1
I am not getting how this value 3,001.20 is calculating.
Kindly help me to under stand this
Edited by: lolu jo on Oct 28, 2011 3:57 PM

KP26 : Activity Price Calculations mismatch

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