Orders settle to P&L account

Hi Experts,
Now, we have such an requirement, we want to settle the orders to P&L account, we can assign the P&L account in the settlement rule, but when we run the settlement, the system ask to assign an CO object (because we this P&L account is managed as cost element).
Of course, we have assign a default CO object to the cost element in OKB9, but we want to select different CO objects for different scenarios. Is there any method for this?
thanks a lot.
Yang

Hi Yang,
What are trying to do exactly? Let us say, you captured some expenses into your Order. (All those expense GL's are other than this 64999999 and they are with Category 1.
Once you want to do the settlement, you want to settle all the Cost on the Order to some GL Account. Isn't it? So, this GL is none other than 64999999 and with 22 category.
If you have created this with 22 category, and assigned in the Allocation Structure under the Settlement Cost Element, when you settle the Order, system will not ask for CO account assignment Objetct.
It is same as when you settle the Production Order, where in we define Change-in-Stock A/c with 22 Category. Kindly check your settings once again and revert back. You can still refer IDES where in you will find the Change-in-Stock A/c 895000 with 22 category (check the GL No. I don't remember exactly)and which is used for Production Order settlement, and system doesn't ask for any CO Account Assignment Object.
Check and Revert back...
Srikanth Munnaluri

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Internal order settlement to G/L account

Dear All,
User has created one internal order 650002012 and the settlement profile is created settle to G/L account S882000000. this is a cost element category "1" (Loss on contract cancellation & co).
In the internal order The Responsible cost center is DA01D89998 (Validation & Eng Admin-St) the profit center for this "DA01".
In the internal order the Requesting cost center is DA26ZPSHRD (Shared Cost Center for Deltron), the profit center is "DA26"
in the settlement profile when i double click on the settlement rule, he has assigned the Cost center DA01ZPSHRD (Shared Cost Center for Ko) and the profit center is "DA01".
But when he execute the T.C "KO8G" the system is showing the error is " G/L account requires an assignement to CO object".
1. The receiver G/L account has created as a cost element. is this correct?
2. In the allocation structure do we have to select the "By cost element check box" or do we have to give the secondary cost element in the settlement cost element field.
Please give the sugessions to solve this problem.
Thanks and regards,
Rao.

It sounds like you are a little confused on how internal order settlement works. If you want the internal order to settle to a G/L account then you must enter the G/L account number in the settlement rule in the internal order. To do this, click on the settlement rule button in the order, select category G/L and enter the G/L account number. In order for you to be able to select G/L as a settlement object the settlement profile you've assigned to the order must allow this. Check the settlement profile and make sure that G/L account is listed as settlement optional or settlement required. Also check the allocation structure that is attached to the settlement profile. In the allocation structure you must have an entry under the settlement cost element for receiver category G/L. Here you should specify a cost element of type 22 as the settlement cost element.
When you make those settings you will be able to specify the receiving G/L account in the internal order. The system will then credit the internal order for the settlment amount with the credit posted on the category 22 cost element specified in the allocation structure. The debit will appear on the G/L account you specified in the internal order's settlement rule. Normally, the receiving G/L account would not be setup as a cost element. if you do set it up as a cost element you will need to use an automatic account assignment setting (OKB9) to specify the cost object that it will post to.
thanks,

Order settlement to G/L account.

Hi all,
use is trying to settlement from internal order to G/L account. This G/L account is a "TAXABLE EXPENSES" balance sheet account. but they have selected the fields "Business area and "Profit center" are required fields. when they are trying to do the settlement in the month end using transaction code "KO8G" is is showing the error is "field business area is a required field for G/L account".
please let me know where do i have to check for this issue.

Hi Eli Klovski,
Actually we are using the 3.1 version. in :OKB9" it has the fields only are company code, cost element, business area check box, controlling area, cost center, order and profit center fields.
but our G/L account has not been created as a cost element because it is a Balance sheet account.
i have checked in allocation structure, here settlement by cost element check box has been selected.
how this picks the business area when we are doing the settlement to G/L account from internal order.
here it is showing the error is "field business area is a required field for G/L account". when we are doing settlement using the T.C. KO8G.
Please give me sugession how to overcome on this issue.
Have a nice day.
Navuluri Rao.

Production order settlement accounting entry

Hi,
Can u gibve some link what is production order settlement , and how the accounting entry is generated, our PP person have done the settlement in april 2010 but accounting entry are not updated in the corresponding g/l account how to check this.
regards,
zafar

Production order settlement is just a process of closing the order after goods recipt (production) is being booked in system
Production order settle the costs to CCNs from the orders. It doesnt have any entry unless under / over absorption. In that case following entry will be generated (i.e. of difference amount)
Inventory Change Dr. To Inventory & vice a versa as the case may be of under/over absorption.
If you go thru MB5B for the material, you will find the same without any Mvt. type.
Hope it is clear.
R/s

Internal Orders & settlement to Inventory Accounts(G/L Accounts)

Hello
Could anyone share his/her knowledge on the business processes that might be involved in the use of Internal Orders for small projects(minor costs) and then settling it to Inventory Accounts.
My Client uses Internal Orders to capture costs for small projects like Advertising campaign, Claim for warranty, House keeping charges etc.and once after all the charges are captured, they settle the Internal Orders to Inventory Accounts? (which is kind of confusing to me)
I know that Internal Orders are used to capture the costs for small projects but I am confused as to how are those costs settled to Inventory Accounts??
Is it possible to settle those small project costs to Inventory Accounts? If so what would be the business processes or postings that would need to be posted to Internal Orders(Ex: Goods Reciept or Inv Consumption)
I am preparing a Business process design document and I need to document this.
Could anyone please share their knowledge and explain this, It would be really helpful and will be really appreciated. I would be really generous in assigning points.
Thanks for your help!
Sandeep

Hi Ashok,
Thank you for your reply.
The PCE does not have a default account assignment.
The reason for this settlement is because we want to move the charges onto a balance sheet account so they can be cross charged manually. The debits on the internal order are on a secondary CE as they came from an assessment out of a cost center.
The flow should be: CC assessment> IO> G/L
CC assessment to IO happens on a secondary
Debit sits on the IO on a secondary CE
We want the IO to settle to a balance sheet G/L

Where can I define Account assignment category for order settlement rules

Dear Gurus,
    When I used Tcode: CO07 to create a rework order for parent order. But I cann't find the Account assignment category = Ord (Order) in the maintain Settlement rule overview.
Where can I define Account assignment category for order settlement rules?
Please help me. Thanks!
Regards
Paul.

I've resolved this question.
    Firstly, run OPJH - Define Order Types, we should assign settlement profile for the order type.
    Secondly, Run OKO7-Maintain Settlement Profile, find and mailtain the settlement profile. In 'Valid Receivers' we should set the field 'Order' = 1-(Settlement Optional).
    Thirdly, run CO07 - Create Order without material. We can find account assignment catetory 'ORD' in maintaining Settlement rule.
Edited by: Paul Chan on Feb 16, 2009 5:15 AM

Order settlement - Account substitution

Hi SAP community,
We need to create an substitution rule for the account number at the moment of the order settlement.
We have some maintenance orders and service orders that we need to do the account reclassification when we do the settlement to cost centers. Is it possible? How can I do it?
Thanks,
Daniel.

dear friend,
please look here:
http://help.sap.com/saphelp_47x200/helpdata/EN/66/bc7ff843c211d182b30000e829fbfe/frameset.htm
regards,

Production order settlement Account determination

Hi All,
When i run variances analysis settlement,in FI/MM account determnation what accounts should hit?
one side of the entry is hitting GBB-AUA and what is the off set to this account?
any help is appreciated.
Thanks,
Anusha

Hi,
In GBB > AUA, if the GL is maintained for COGM, then your variance GL would be in PRD > PRF which is right.
But in our case, We have maintained the GL for Variance in AUA and GL for COGM is maintained in AUF (of which the prerequisite is goods receipts for orders without account assignment and for order settlement if AUA is not maintained).
So settings in both of the systems are right.
Ultimately, while settling the PO, the entry would be as above thread.
Regards,
Jigar

Defaulting G/L account in work order settlement rule

Hello,
I have set my work order settlement profile, the default object to be G/L. However, in the equipment master record, at the Organization tab (account assignment group), i don't see any field for G/L account.
When i create settlement rule with default, i get error that rule cannot be created with default.
Where can i enter the G/L account in the equipment master to enable the auto settlement rule creation?

you can always explain the concept of FI account through Cost Center and CO account through Cost Element from Plant Maintenance and FI/CO organisation point of view and in relation to business process.
As you cant define in master data you cant get it automatically copied into settlement rule and hence have to maintain it manually as system dont know which GL to use as settlement receiver as not maintained in master data.

Order settlement accounts

Hi Experts!
It is my understanding when settling an order the variance btw actual and target cost hits the material account if the material has a V price control. Is there any reason why the variances would go to a different price account? I am having this scenario and I don't know why
Thanks,
Alejandro

Alejandro,
If the price control is "S", then the variances are settled to price difference account. Incase of "V" it should update moving average price or material account.
Example: from SAP help.
The costs to be settled refer to an order quantity of 40 units. The material master record of the material being produced has the price control indicator V (moving average price).
Twenty pieces were issued from stock between delivery and settlement. The stock quantity is now 20 units. Settling the costs that refer to the total order quantity would make the moving average price unrealistically high. To avoid this, the system makes the following postings:
The system posts 50% of the costs to be settled to the material stock account for the 20 pieces still in stock.
The system posts 50% of the costs to be settled to a price difference account for the 20 pieces that were issued from stock.
Regards,
Prasobh

KO8G open work order settlement

Hi,
I am facing an issue with open work order settlement using KO8G or KO88.
We are on 6.0 and PSM turned and New GL activated with a document splitting on fund mandatory flag turned on.
When open work orders undergo WIP calculation through KKAI, it shows the the calculated amount in the GL account but when we execute KO88 or KO8G to settle this open work order amount to the GL, it gives me the below error
GLT2201 "Balancing field "Fund" in line item 001 not filled"
On debugging the KO88, its seen that the field fund does not flow in from the work order.
This means that both my P&L accounts and my balance sheet accounts that offset the WIP posting does not have the fund field (which is a mandatory field for posting any document in the system).
Has anyone come across such a situation?
Any help would be appreciated.
Thanks,
Pradeep
Edited by: Pradeep Giri on May 30, 2009 4:07 AM

Hey Vanessa,
Sorry i have been really busy with work off late. I just got a moment and wanted to thank you for the help.
I found a solution for it, we had FMDERIVE default the fund on the accounts used in WIP settlement as they are dedicated for those process.
The cost is picked from the order and deposited on the P&L account which is now attached to the fund and this is further transferred to the balance sheet account with the fund information.
Problem solved.
Do you see any other implications on this?
Thanks again.
Pradeep

Open Work Order settlement - KO8G or KO88

Hi,
I am facing an issue with open work order settlement using KO8G or KO88.
We are on 6.0 and PSM turned and New GL activated with a document splitting on fund mandatory flag turned on.
When open work orders undergo WIP calculation through KKAI, it shows the the calculated amount in the GL account but when we execute KO88 or KO8G to settle this open work order amount to the GL, it gives me the below error
GLT2201 "Balancing field "Fund" in line item 001 not filled"
On debugging the KO88, its seen that the field fund does not flow in from the work order.
This means that both my P&L accounts and my balance sheet accounts that offset the WIP posting does not have the fund field (which is a mandatory field for posting any document in the system).
Has anyone come across such a situation?
Any help would be appreciated.
Thanks,
Pradeep

Ashok,
Thanks for the reply.
We have a user exit to populate the order during its creation. this means the fund field is already residing on the order. so during settlement process, closed orders dont have a problem but when open orders are subject to settlement i.e WIP settlement, the cost on the order is not transferred to the GL account because of the fund missing as our financial statements should be balances by fund.
Do you think an user exit can suffice this ? have you ever tried or come across such a scenario.
Thanks
Pradeep

Using a different Sender GL in Internal Order Settlement

When we settle an Internal Order from GL/Cost Element 1 to Fixed Assets, we get:
Dr: Fixed Asset
Cr: GL/Cost Element 1.
For various reasons, we do not want to Credit the original GL/Cost Element but rather another one.
Does anyone have any sugestions as to how this can be achieved?
Thanks.

Hi
Can you tell me what is meant by "Internal Order from GL/Cost Element.."?
As per the functionality, when you settle an internal order, something is moved from the intrnal order and put to another. Hence the place from where it is moved is credited and the receiver is debited. The internal order has postings through the cost element you have posted. So the movement is from what the internal order has in its account.
Order settlement is done through a secondary cost element created and this cost element is used for debiting and crediting the sender and receivers. Hence your idea of using a totally different GL/Cost element (of course that do not have postings with respect fo the internal order in question) is not practical, I hope.

Production order settlement in case of non valuated material

Hello guys,
Our client wants some of the materials have to be non valuated. These materials are raw materials and SFG also. We can assign UNBW material types to those materials.
I have created one material for test purpose. It doesn't contain the accounting view so as no valuation class. BOM of it , doesn't contain any component as client doesn't want to show any consumption on production order.While creating the order for that material system asks for the settlement rule. I skip that step and create the order. I do GR for the same.
My question is, is production order settlement essential for these orders? What if we don't settle the order. No activity type has been assign to the work center.
Kindly give ur valuable inputs.

Hi,
No need to create material as UNBW type.
Normal ROH, HALB, FERT material type we can achieve this.
In the BOM of FG or SFG goto item detail screen there is a tick mark in costing.
Remove the tick by OS23 - BOM status.
Now you can do your production as regular. But cost will not get update.You can do regular settlement also.
Regards,
Dharma

CCS Details are not getting updated to COPA in Sales Order Settlement(VA88)

Dear Experts,
Our scenario is MTO with valuated material.
1. Production order is tagged to Sales Order.
2. Production order is settled to Material and variance is getting posted to COPA.
3. At the time of Delivery, COGS Debit (Cost Object- Sales Order), Credit - Inventory.
4. At the time of Billing, Accounting Document is getting generated, COPA document is not getting generated.
5. We are not executing WIP. (as per Business process)
6. Settlement is done thru transaction code VA88. COPA Document is getting generated.
I am facing the following issues in the above MTO process.
1. At time of sales order settlement thru VA88, In COPA, only COGS is getting as updated with one value field i.e. Material Cost. Cost Component data (Material Depreciation, Labor etc..) is not getting updated to COPA.
2. When I settle the Sales Order thru VA88, Billing Quantity is not getting updated to COPA though Quantity field mapping is done properly.
Please help me how to resolve the above issues.
Note: Same Cost Component Structure, we are using for Make to Stock scenario. Cost Component Data is getting updated Properly to COPA (at the time of Billing)
Regards,
vgl
Edited by: vglokam on Aug 31, 2010 10:52 AM
Edited by: vglokam on Aug 31, 2010 10:54 AM

Hi
1. CCS (Cost Comp Split) wont be updated to COPA if you settle via sale order.. In sale order, COGS cost element is posted.. the same will get settled to COPA as one single value...
In MTS, the CCS gets updated to COPA upon billing because of the "valuation" strategy customization... Billing posts to COPA in that case, COPA gets Sales Qty and it is valuated with CCS to give you the break up.. But, in your case, Billing is not posting to COPA, but to sales order.. hence, there is no qty flow into COPA upon billing.. thats why you dont get CCS for MTO
2. The sales qty should be updated to COPA upon VA88.. For this, make the following settings in your PA transfer structure which is used during VA88
1. Go to KEI1, Select your PA transfer structure...
2. Add an assignment line in it... Check on "Qty Billed/Delivered" in the assignment line
3. In the Tab "Value Field" below "source", assign Qty Field
Now when you settle, it should update qty as well
regards
Ajay M

Orders settle to P&L account

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