Cost Object Controlling is an area in cost accounting that assigns the costs incurred in the production of company activities (such as materials manufactured in-house) to those activities. It supports you in:
Reaching make-or-buy decisions
Determining price floors
Performing complex cost analysis (such as target/actual analysis)
Determining inventory values
Cost Object Controlling is divided into the following components:
Product Cost by Period
This component is used for recurring periodic cost control of products that are manufactured in the same way over an extended period of time.
See also: Product Cost by Period
Product Cost by Order
This component is mainly used to analyze the costs of individual production lots.
See also: Product Cost by Order
Product Cost by Sales Order
This component lets you collect and analyze costs in complex make-to-order production or for customer-specific services, for example.
See also: Product Cost by Sales Order
Costs for Intangible Goods and Services
This component allows you to analyze the costs of general cost objects, which are standalone cost objects not represented by objects in other applications.
See also: Costs for Intangible Goods and Services
For more information, see Cost Object Controlling.