Define Settlement Cost Elements
In this IMG activity, you can define
- primary cost elements for settlement to receivers in external accounting.
You can settle to
receivers in external accounting in Asset Management, Inventory Management
within Materials Management or in the G/L account in financial
accounting.
Primary cost
elements correspond to the G/L account in financial accounting.
If you wish to
settle to cost elements, you do not require any primary cost elements for
settlement.
- Secondary cost elements for settlement to receivers in internal accounting.
If you wish to define a greater number of cost
elements, use the Implementation Guide for Cost and Revenue Element Accounting
to create 
Automatic Creation of Primary and Secondary Cost
Elements.
Define the following cost elements, to ensure that settlement is successfully executed:
- Cost elements that incur costs
These cost elements
must be presented in cost element groups.
You require one cost
element group for each settlement assignment. If necessary you can create new
cost element groups by editing the source in the allocation
structure.
- Settlement cost elements to which costs are settled
Each settlement cost
element must belong to one of the following categories:
- Internal settlement: Cost element category 21 (secondary).
- External settlement: Cost element category 22 (primary).
Activities
- If the cost elements assigned to the G/L accounts do not yet exist, create primary cost elements of category 22 (external settlement).
If the corresponding
G/L account does not yet exist, you need to enter this in Financial
Accounting.
- If required, you can create secondary cost elements of category 21 (internal settlement).
- If the cost elements for the settlement already exist, you can change them (for example, the cost element category), providing the cost element was not used previously.
Note on transport
The "General Controlling" IMG includes a
function for cost element
Transport.