The Product Cost by Sales Order subcomponent is normally used with orders of order type standard order (TA).

When you create a standard order with a corresponding requirements class, the following happens:

1. The system sets the status for make-to-order production (MtoO) for the sales order item.
2. A profitability segment in Profitability Analysis (CO-PA) is created, to which costs and revenues for the sales order item can be assigned.
3. A settlement rule is created, which assigns costs and revenue for the sales order item to the profitability segment.

You can check the settlement rule after creating the sales order.

4. A settlement profile containing control parameters for settlement is offered as a default.
5. A results analysis key containing control parameters for results analysis is offered as a default.
6. Pricing is carried out to calculate the net value of the order item.

For information on how to create a standard order, refer to the documentation LO Logistics ® SD Sales under Creating sales orders.