The system automatically assigns a settlement rule to the production order when the order is created. The assignment is carried out via the default rule defined in Customizing.

The settlement rule includes one or more distribution rules for the production order. The distribution rule consists of a cost receiver, a settlement share and a settlement type:

• The settlement receiver determines to which cost object the actual costs of the production order are to be settled. Possible receivers include

• a material
• a cost center
• an internal order
• a sales order
• a project
• a network
• a fixed asset

• The settlement share determines the percentage rate or the equivalence number to distribute the costs to the individual cost receivers.

• The settlement type determines whether all the costs are settled which were incurred for the order (full settlement) or whether the costs collected on the order are to be settled periodically (periodic settlement).