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Doubts on Standard cost estimate

former_member1241202
Active Participant
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Dear all,

I am new to costing run,i know only the basic process of costing run.

My client have not run costing from 2008 to till now.

In this situation how i need to process costing run.

If i run cost estimate by using ck11n whether the values will calculate for COGM & COGS from year of 2008 to till now or only current values will calculate?

Kindly please clarify on these

Regards

Rajasekaran

Accepted Solutions (0)

Answers (5)

Answers (5)

former_member1241202
Active Participant
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Dear pavan,

In material master for the particular material (finished goods),costing lot size was mentioned as 1000.

1,What is your expected price of the material after material cost estimate...?

( This will be derived Thorough Price of the child BOM component + Activity cost + Overheads)

For you above question Can you please explain me in detail?I am basic SAP PP support

Regards

Rajasekaran

former_member1241202
Active Participant
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The formula maintained in work center for LABOUR IS

LABOUR *OPERATION QUANTITY / BASE QUANTITY / OPERATION SPLITS.

Regards

Rajasekaran

former_member1241202
Active Participant
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Dear all,

Thanks for your reply

I am very much confused with cost calculation,

i have given costing Lot size in 1000 as per in the material master

For Current period MACHINE,LABOUR,SETUP i have given the fixed cost as 10.00, variable cost as 9.00 in KP26

The formula maintained in work center for machine is

MACHINE*OPERATION QUANTITY / BASE QUANTITY / OPERATION SPLITS

The formula maintained in work center for LABOUR IS

MACHINE*OPERATION QUANTITY / BASE QUANTITY / OPERATION SPLITS.

Kindly find below image

Kindly please clarify how total values & quantity gets calculating.

pavan_kumar18
Advisor
Advisor
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Hi,

Let me confirm one thing:

1,What is your expected price of the material after material cost estimate...?

( This will be derived Thorough Price of the child BOM component + Activity cost + Overheads)

Change the lot size in ck11 from 1000 to Per unit and see the result.

Other configuration related things (OKTZ) already explained by Mr. & Mr.

Regards,

Pavan Kumar Arvapally

ajaycwa1981
Active Contributor
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Hi Raja

Cost estimate is calculated with ref to the date you mention in CK11N  - COSTING DATE FROM

So, simply mention the today's date and calculate your cost estimate

For the rest of your Qs, refer the reply frm Rajneesh

Br, Ajay M

rajneesh_saxena
Active Contributor
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Dear Raja

It depends on the settings you do at Cost component structure. A particular cost component you may use to calculate COGM of COGS, also the same cost component you may consider to valuate your your inventory or not. Yo please see design of cost component at OKTZ by selecting any cost component of your structure and pressing details button.

If you calculate and release standard cost system will calculate standard cost for current period based in the settings in your valuation variant. And also released standard cost will be updated in the material master and accordingly inventory values will change and system will pass FI entries for such revaluation.

So I suggest that before releasing the standard cost please show it to the client and tell them verify the costs and also to calculate the revaluation impact, so that they may be aware of the changes.

Regards

Rajneesh Saxena