Meaning of cost element
please explain about cost element. In OBYC we use this concept.
since i am not a FI consultant neither I have FI background.
I have gone through the defination but could not understand the concept.
Please donot provide that definations as it won't serve the purpose.
Dear Geetika,
Cost element is nothing but your Profit and Loss GL accounts you create in Finance.
For ex. If you got various expenses like Administration exp, Sales Expense, Stationery Expenses etc... all these will be created as a GL account.
All these GL will be created as a Cost element in the Controlling module in order for reporting purpose.
So when ever you post the FI entry for any expenses for which a cost element is created, a corresponding entry will be posted to Controlling modules for reporting purpose.
Cost elements cannot be posted individually , it has to be collected in a Cost object . Cost Centers, Internal Order, WBS elements
are some Cost objects against which cost elements can be used.
Cost Elements has two types
Primary and Secondary cost elements.
Primary cost element is the one which we create with reference of GL and it will be identical to your GL account.
Secondary cost element can be created as per your desire.
OBYC setting is used for MM integration and there is no link between cost element and OBYC settings.
Thanks and regards
Praveen.J
Similar Messages
-
Hello friends,
Am I correct in defining the masked cost elements in the following way?
5900++ -
> Labour costs
5+++++ -
> Secondary Costs
5904++ -
> Overheads
Am I not overlapping them, thus leading to a conflict? How do they work at all?
Can someone explain please?
Thank you very much!
Regards
SHIVHi Shiv,
The number of Masked cost element is depend on how many of your transctions.
As I see your setting is overlap because the Secondary Costs.
If you mean Secondary Cost Element, I suggest to use 8.
For example.
00005900000 -
> Labour costs
00005009000 -
> Secondary Costs
00005904000 -
> Overheads
00008000000 -
> Secondary Cost Element
Regards,
Worached
Reward points if it is helpful. -
Report for Missing Cost Elements
Hello Friends
I want to know if there is any report which shall give the list of missing cost elements in the system. I mean I want to know the list of primary cost elements that are still not created in the system as compared to P&L account GLs(Hence such cost elements need to be created now)
Thank you in advance
Best Regards
Prashant SHi,
T-Code KAH3, enter cost element group that covers all cost elements so far, go to "Extras / Check and Help functions / Check completeness". The "missing" primary cost elements are displayed, but ensure, that they really should be created as cost element.
Best regards, Christian -
Cost element category 11 problem
Dear Experts,
While creating PR using GL account xxxx this error message appears:
Revenue cannot be assigned to CTR xxxx//2222
Message no. KI 295
Diagnosis
The given object is not a valid additional account assignment for revenue or debit postings.
Procedure
In this transaction only use additional account assignments that allow revenue postings.
I've check through KA03, the CE category is "revenue" (category 11). I've tried using another CE (e.g: CE category 1)to creating PR and its works.
How to fix this issue since the user still want to use the CE with category 11?
Pls advice.
Thanks.Cost centers are for monitoring costs. When you allow the revenues to be posted to a cost center, it means that you are controlling the revenues also with the use of cost center controlling.
In your case you are using GL account which has been created as revenue element(category 11). To revenues any costs being assigned to cost centers will not be allowed. When you use a cost element (category 1) it posts as you are using this to post costs. SAP recognises this as a cost when you post to this category.
As far as possible you should avoid posting revenues to cost centers. Let me know if you need any further clarification.
Karthik -
Creation of Cost Element in trading Company
Hi,
Ours is Trading company. We do not manufacture any products and hence we don't have production or process orders.
Should we create price difference (due to difference in goods receipt and invoice receipt) and Cost of goods sold G/Ls as cost elements?
Please reply.
Regards,
BijayHi,
If you are using controlling, you can create those accounts as cost elements. It is all depends upon the requirement. Is this price difference account effect your cost reports? i mean if you use this account for management accounting reports you can create this account as a cost element. In the same cost of goods sold acocunt also.
The rule for creating an account as cost element is .. is that account effect your controlling/management accounting or not. If yes, create as a cost element otherwise no need.
Regards
Radha -
Cost element description now showing in Report painter
Hi,
I selected to display KEY and DESCRIPTION in the report layout settings for a report painter however the report is displaying only the cost element number and not the description in the rows.
In this case, how to display the cost element description in the report painter rows?Hi,
ensure that KEY + DESCRIPTION is selected in the layout settings. Description will only appear if it is maintained in the logon-language (means if your logon language is EN but cost element texts are not maintained in EN no descripiton can be seen).
best regards, Christian -
Report Painter Report - Leading White Spaces in Cost Element
When calling up a report painter report, e.g. S_ALR_87013613, with cost element characteristic in Office integration/Microsoft Excel as output parameters, the cost element (row item) is indented with white spaces. The number of white spaces seems to be in relation with summation levels (sub-totals) visible in the left panel. For some cost centres that only have limited transactions, such as no posting to salary account group, there are less levels of summation, meaning less leading white space in cost elements. Is there any way to eliminate or have a fixed number of leading white spaces in cost elements?
We export the report to Excel worksheet for further processing. VLOOKUP function is used to read the cost element into another workbook. The inconsistent number of leading white spaces creates a problem for the formulas to work properly.
Any suggestion is appreciated.
Regards,Hello,
There are different ways of downloading the report to excel. One option is
System ==> List ==> save (to local file)
Please try with other options.
If still not working, then the work around would be
You can put ctrl+H (replace all spaces)
Then text to columns
Hope this works.
Regards,
Ravi -
CSKA & CSKB Tables -Cost Element+ Controlling Area, Cost Element Category
I have few questions on Chart Of Accounts and Controlling Areas and CSKA(Cost elements (data dependent on chart of accounts)) and CSKB (Cost elements (data dependent on controlling area)) Tables--
1) One Chart Of Accounts has one or more Controlling Areas. Is there any situation where One Controlling Area contains many Chart Of Accounts.
2) CSKA Table contains all the Cost Elements under the Chart Of Accounts. So does all these Cost Elements appear under CSKB Table. Are there any Cost Elements which doesn't fall under any of the Controlling Area and only exists under Chart Of Accounts Level in CSKA Table.
3) In CSKB Table How do we know the corresponding Chart Of Accounts for the Cost Element.
4) In CSKB Table Cost Element Category depends on both Cost Element and Controlling Area. So does a Cost Element can be Primary Cost Element for one Controlling Area which happens to be GL Account and Secondary Cost Element for some controlling Areas.
5) Are there any Company Codes under the Chart Of Accounts which doesn't belong to any of the Controlling Area and doesn't have any Cost Elements.Hi,
1) One Chart Of Accounts has one or more Controlling Areas. Is there any situation where One Controlling Area contains many Chart Of Accounts. Never
One controlling area can be assigned to many company codes, but all must have been assigned to the same chart of accounts only. This is the pre requisite for the so called cross company controlling
2) CSKA Table contains all the Cost Elements under the Chart Of Accounts. So does all these Cost Elements appear under CSKB Table. Are there any Cost Elements which doesn't fall under any of the Controlling Area and only exists under Chart Of Accounts Level in CSKA Table.
If some data exists in CSKA table, it mean that, it must have been created as a CE in any of the controlling area
3) In CSKB Table How do we know the corresponding Chart Of Accounts for the Cost Element.
In CSKB, you wont get the correspondant COA for the given controlling area. If you want to know it pass field value CSKB-KOKRS to table field TKA01-KTOPL to get the assigned COA
4) In CSKB Table Cost Element Category depends on both Cost Element and Controlling Area. So does a Cost Element can be Primary Cost Element for one Controlling Area which happens to be GL Account and Secondary Cost Element for some controlling Areas.
You cannot create a secondary cost elemant using a key matching with an GL code in cross company controlling. In case of both company codes assigned to different controlling areas this can be possible
5) Are there any Company Codes under the Chart Of Accounts which doesn't belong to any of the Controlling Area and doesn't have any Cost Elements.
Only In case of CO module is not active for the a company code
Note: If you have more queries, post it separately rather than asking all in one thread. and be specific with your requirement with the actual scenario.
Thanks,
Srinu -
In controlling secondary cost element cost is considerble for financial rep
in controlling secondary cost element cost is it considerble for financial reporting requirment. In controlling for pm orders based on planning in kp26 they are booking man hours activity price. when at time of confirm of the order planning converted to actual.
Client is giving activity price based on primary cost, when we plan the activity price It will double booking what we incured in primary cost. let me clarify for financial report requirment can we consider secondary cost or notHi,
Secondory cost is a re allocation of Primary cost. It should not be considered if you are considering primary cost. Secondary cost is used for analysis and should not be confused with Primary cost
Ex. Cost gets collected to cost centers, The activity is a carrier which carries cost to Process/ production order. So that doent mean that the cost is gernerated twice once you book the financial and second when you acutally allocate the cost.
In controlling we allocate the cost in a more meaningful way to get the required analysis which will support the decision.
So both the cost should not be considered
This may be useful
Regards
Shantanu -
Duplicate Entries For Cost Elements
Hi All,
We have a situation in which in a particular inventory org duplicate entries of a cost elements have got created. eg: Material Cost Element has appeared twice or thrice for an item, similarly material overhead, resource etc. due to which the item cost has shoot up.
Can someone please suggest what could be the possible reason for the same? Its lil urgent.
Thanks!!!Dear
Can please confirm wether this depdends are for any MTO order ? I mean you have Sales Order for FERT with MTO item categoery and running MRP in MD02 .In that case whether , it is generating multiple similar MRP elements.
Basically , this is happen based on the Planning Horizon as well as Re-schedule horizon kept into OPPQ /MRP relevent paramentrs/OPPR in case of MRP group .If your firm reciept like Production Order are boyond the planning horizon during your MRP run , demnad will be re-considerde to create Planned order .So chek the PH/Rescheduling horizon .So keep bit larger Re-scheduling Horzon .
Refer our earlier posting : new planned orders on next MRP run
Other possibilites can be explored in the SAP notes from sales stand point : SAP Note : 744305/744484/80891
Regards
JH
Edited by: Jiaul Haque on Nov 22, 2010 1:13 PM -
Instance where Secondary Cost Element Linked to GL also
Hello Gurus,
What are the instances where secondary cost element is a GL also.
Regards
RohitDear Rohit,
You will not find any instances were secondary cost element is linked to GL.
Secondary cost element can be use within co. Linking cost element to GL means integration between FI and CO.
That can be possible only for General Ledger (FI) and Primary cost element (CO)
Rupesh Kumar Singh -
Planni values at cost element group level instead of at cost element level
Is it possible to plan values at cost element group level instead of at cost element level in BI?
Similary I have another question for financial statements.
Is it possible to plan values at financial statement level instead of at G/ in BPS or SEM?
ThanksHi.
It depends on what you mean "cost element group".
If you mean node (not leaf) in hierarchy so the answer is NO.
If cost element group is regular characteristic so the answer is YES.
Regards. -
Plannig values at cost element group level instead of at cost element lev
Is it possible to plan values at cost element group level instead of at cost element level in BPS or SEM?
Similary I have another question for financial statements.
Is it possible to plan values at financial statement level instead of at G/ in BPS or SEM?
ThanksYou mean that I am on the wrong forum. Which forum is useful for me for this question?
Thanks -
Posting for secondary cost element
Hi All,
After running KSU5 (cost centre settlement, we have small balance in secondary balance. Could you please advise how we can post entries between secondary cost element.
Regards
DeepakKSU5 is used for cost center assessments (settlements are a type of allocation for internal order/WBS elements/networks/etc). Once you define the rules for the allocation, SAP will follow those rules and post the appropriate entries. You cannot post manually/directly to secondary cost elements. SAP cannot get "out of balance" during an allocation. When you say "small blance in secondary balance", I am not sure what you mean. Are you saying there is a financial balance remaining in the Sender cost center? More info is need to properly address the issue.
-
Secondary cost element in KB11N
Hello.
I'm not allowed to use a secondary cost element in a reposting.
What do I have to modify?
Thank YouHello,
You cannot use secondary cost element. You need to use primary only.
Please go through the following:
DISTRIBUTION =========== Distribution was created for transfer primary costs from a sender cost center to receiving controlling objects. During distribution, only cost centers or business process can be used as sender. A distribution receiver can be a cost center, WBS element, internal order, cost object, or a business process. You can restrict the number of receiver categories in customizing. Primary Postings (such as, energy costs) are collected on a cost center, and allocated at the end of the period by means of the user-defined key. You can only distribute primary costs. During this process, the original cost element remains the same. Line items are posted for the sender as well as for the receiver, enabling the allocation to be recorded exactly. You can reverse distributions as often as required. You use the Cycle-Segment method to define sender-receiver relationships. PERIODIC REPOSTING ================= Differences between periodic reposting and distribution are due to information content and performance. For periodic reposting, no separate credit record is written on the sender for the cost element in the summary report. Instead, the totals record for the cost element is reduced on the debit side, which means that the original debit amount can no longer be checked there (u201Cunclean creditu201D). However, during distribution, the system writes a totals record for the credit (u201Cclean creditu201D). The information on the receiver is the same for periodic reposting and distribution (u201Cclean debitu201D). Compared with periodic reposting, during distribution, the system also updates the partner in the totals record for the sender. This means that the partner can be displayed in the information system on the totals record level. As fewer totals records are written during periodic reposting, performance is better than during distribution. ASSESSMENT =========== Assessment was created to transfer primary and secondary costs from a sender cost center to receiving controlling objects. During assessment, cost center or business processes can be used as senders. The receivers for an assessment can be a cost center, WBS element, internal order, cost object, or a business process. You can restrict the number of receiver categories in customizing. Primary and secondary posting are allocated at the end of the period by the user-defined key. During assessment, the original cost elements are summarized into assessment cost elements (secondary cost element category = 42). As the system writes fewer total records, the assessment has a better performance than periodic reposting and distribution. The system does not display the original cost elements in the receivers. Therefore, assessment is useful if the cost drilldown for the receiver is not important. Similar to distribution, the partner is updated in the totals record during distribution You can reverse assessments as often as required. You use the Cycle-Segment method to define sender-receiver relationships. Regards, Ravi
Maybe you are looking for
-
Sub contracting Purchase requisition not created thru Service Order
Hi Experts, I configured to create Service order automatically from Customner service. Now we have the SM03 repair service order .When we try to create Sub contracting Purchase requisition. (Selecting Subcontr tick in External tab of Components tab)s
-
I restored my iphone because I have hundreds of apps and wouldn't want to delete them. Well I don't want to exactly permanently delete them. I just want them off my iphone as it makes it laggy and kills the battery. So I backed it up. However, I am w
-
Unable to update the page name programmatically
Hi, I'm trying to change the Page title through the program. It seems, its updating but when I actually open the page and see the page it is not showing the updated page title. Here is the code IPcdObjectFactory pcdObjectFactory = ((IPcdGlS
-
How to delete iPhone camera roll's photos in new version Photos for Mac
Hi, Before upgrade to new version Photos for Mac. I was using iPhoto + Photo Stream to manage all the photos took from my iPhone. Photo Stream will upload all new photos to iPhoto; when I connect iPhone to my mac, I can use iPhoto to delete my iPhone
-
MSS Organizational Assignment iView not displaying
Hi, I'm using the MSS business package. When navigating to Team - Employee Info - General Info, selecting an employee and clicking on the organizational assignment hyperlink, nothing happens. The Org Assignment iview does not popup. However if I go i