Posting Cost of Goods sold to PA

[Former Member]

We have a requirement to post COGS to COPA. We have costing based pa active. Cost element categry 01 requires a cost object and I have made it 12. What is the based practice to get a contribution margin from COPA. ? Can COGS be posted as a G/L account only and still get a report from COPA?

- Thanks

[Former Member]

Thanks very much!

[Former Member]

Hi,

Do you have sales (SD) in SAP? If yes, when you post billing document to CO-PA, cost of goods sold is also posted to costing based CO-PA. For this to happen, you need to map VPRS SD condition to a COPA value field. Alternatively, if you want cost component break down, then you can access standard cost estimate using costing keys(KE40) and map cost components to COPA value fields (KE4R).

Hope this helps.

[Former Member]

Hi,

Thanks for your response. We have COPA, SD both. My question is specific around cost element category (01 or 12) for COGS account v/s not having a Cost element but only as a GL account. What is the best option and why?

Regards,

[Former Member]

Well, the best practice is not to create COGS GL as a cost element.

Edited by: Pradeep kumar Athmakur on Jan 8, 2010 6:40 PM

[Former Member]

Thanks again,

Can you please expand your reply. How does COGS flow to COPA w/o a Cost element?

[Former Member]

If you just have costing based COPA and no account based COPA, cost is transferred to CO-PA through VPRS statistical condition type. For this you need not have COGS as a cost element. VPRS is statistical and you maintain the mapping in KE4I.

Do you have account based COPA active too? If yes, then you need one with category '01'. But, if you use COGS account during say credit memo creation in SD instead of revenue account, then create with category '12'.

Hope this helps.

[Former Member]

Thanks for this answer:

If I summarize this:

The COGS can flow to CO-PA with VPRS condition type. Do we have maintain PA transfer structure in KE2I to assign value field VPRS.

Regards,

[Former Member]

Yes, COGS can flow to a value field through SD condition VPRS mapping to COPA value field maintained in transaction KE4I (not KE2I). PA transfer structure is used to post from FI/MM, PP etc., not from SD to COPA.

[Former Member]

Dear Pradip Sir,

will we tell me In KE41 T-code VPRS and PR00 two things are there I know PR00 is used for revenue and

VPRS is for COGS my questions is what is the thoroughly meaning for this thing

1. When SD billing is done money is not come ,so at that time imaginary money come through PR00 ( I'm right)

2. So what is the use of VPRS ( wt i think VPRS is cogs + some profit , tell me i'm wrong)

After I thoroughly konw this thing I ask u about KE12 T.code

Thanks,

Sahoo

[Former Member]

Hi,

VPRS Condition is cost of good sold i.e. It derive from Material master of that product price. You can check in Accounting view of material master.VPRS will only have cost of product, where as PR00(Revenue)will have both COGS+Profit margin.

Hope you Understood.

Regards,

Sreekanth

[Former Member]

Dear Pradip sir,

Kindly tell me why we putting both this thing in T- code KE41(Maintain assign ment of SD condition to CO-Pa value field)

Another thing we put this two condition type or any other thing required

Sorry I,m distrub we to asking this funny questions , I'm a coreteam member so..

Thanks