Sales order based costing

Question

1) How to caluculate the cost based on the sales order.cost Estimate with quantity strcture is possible or not
PLEASE LET me know the status.
with Regards
Srinivas

Answer 1

Hi,
In Product Cost by Sales Order, costs are normally collected on sales order items.
The quantity structure term is relevant to Production Orders which carries BOM and routing and your scenario is make-to-order.
For each sales order item, you can plan the cost of goods manufactured or the cost of goods sold. The costing results can be used as a basis for pricing in the SD component.
To be able to plan costs for sales orders, you must do the following:
Define a costing variant and a valuation variant.
Define a costing sheet for the calculation of overhead rates.
Make sure that the MRP group in the MRP 1 view of the material master record specifies a requirements class that has account assignment category "E" (make-to-order) and that allows costing.
In the requirements class, use the "Costing" indicator to specify that costing is allowed or updated and whether the planned costs are updated.
In the requirements class, you also specify whether your sales order stock should be valuated or nonvaluated with the "Valuation" indicator.
Results analysis at the end of the period is only required if you are using a nonvaluated sales order stock.
To carry out results analysis, you must do the following:
Define a results analysis key
The results analysis key controls whether an object is selected for results analysis or WIP calculation. The results analysis key is defined as a separate default value for each requirements class.
Define a results analysis version
The results analysis version determines which of the results analysis versions are relevant to settlement. This is particularly important in multiple valuation.
Choose a valuation method
The valuation method controls which formula is used to calculate the results analysis data.
To be able to settle the results analysis data to Profitability Analysis, you must define a PA transfer structure that assigns the results analysis data to value fields.
To be able to settle the capitalized costs and the revenue in excess of billings and the reserves to Financial Accounting, you must:
Set the indicator "Financial Accounting" in the results analysis version
Define posting rules
The posting rules assign the results analysis cost elements under which the results analysis data is updated on the order to G/L accounts (such as the finished products inventory or the reserves for unrealized costs (balance sheet) and the inventory change account or the expense account for reserves (P+L)).
Regards,
Sadashivan