Product Costing Periodic Analysis

Hi,
When we run "KKBC_HOE - With Defined Summarization Hierarchy" for a particular period, does SAP take into account only the postings made in that period.
There could be open production orders from previous periods carried over to the period under analysis. How does SAP handle those? Will SAP eliminate the postings made to such production orders in previous periods?
Similary, How does SAP calculate plan costs (both material & activity costs) for the period in analysis.
Thanks,
Ram

Hi Kaarthik,
Thanks for your reply. Still, there is some doubt in the way SAP calculates. I not able to simulate what you suggested as it is not month beginning.
For instance let us say that a production order started in period 1, the planned costs are material-$1000, labor activity-$500. At the end of period 1, the actual costs posted to the order were material-$500, labor $100.
So, when I run the report at the beginning of period 2, (only for this period-not cumulative), what will be the planned costs for this order.
Thanks,
Ram

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