Hi PC Experts,
I am facing issue in Target & Actual price for Activity when my it remain same at Std Cost Estimate & Production order Confirmation.
Activity price in KP26 as below:
Mach Hr 100
Labour Hr 100
When I did Std Cost Estm activity price deteremined as below:
Mach Hr 95.5
Labour Hr 95.5
When a production order confirmed:
Mach Hr 100
Labour HR 100
I have deleted the cost Estimation in CKR1 and re-calculated the cost in CK11N. But still getting same error. Please let me know how to fix this issue.
Thanks & regards
Generally for Product costing three Costing variants are used.
1. Product cost planning which is used to update the Material master
2. Preliminary Costing which is used to cost the Production order once it is created.
3. Simultaneous costing which is used as and when actuals are booked to the production order.
So as per your mail, you are getting this problem when Standard cost estimation is done. Hence check the Valuation variant in the costing variant used for Standard cost estimation. I think the first strategy used should be the "Average for all the period" indicator. Hence 95.5 rs
Check and let me know.
Thanks for your valid input, I have done the R&D and found out the root cause for issue in price that is because of:
In Activity Type master UOM is HR
In Workcenter Activity Type UOM is Min
I have maintained the value in KP26 as Rs 1000 for 1 Hr,
In routing i have input the activity unit for operation is 14 minutes, then result should be 233 (1000/60*14) but i am getting 200 means rounding off function is performing.
Can anyone faced this issue, if yes, please let me know the solution for it.