Period-End Closing (SAP Library - Product Cost Controlling)

Period-End Closing

Here you define the parameters that influence the activities in the period-end closing process of the Product Cost by Period component.

You specify the following:

How the work in process is valuated

Whether scrap variances are calculated and how they are valuated

How the variances are calculated

If you don't use a cost object hierarchy, you maintain the variance parameters for the product cost collectors.

If you are using a

cost object hierarchy and distribute the actual costs collected for the cost object nodes to the assigned product cost collectors or manufacturing orders , you must maintain the variance parameters for the assigned orders (product cost collectors or manufacturing orders) and make sure that a variance key is defaulted into the master data of the order.

If you are using a cost object hierarchy and don't distribute the actual costs collected for the cost object nodes, you must maintain the variance parameters for the cost object hierarchy as a whole and make sure that a variance key is defaulted into the master data of the cost object hierarchy.

How settlement is performed

If you don't use a cost object hierarchy, you maintain the settlement parameters for the product cost collector.

If you use a cost object hierarchy and distribute the actual costs collected for the cost object nodes, you must maintain the settlement parameters for the assigned orders.

If you use a cost object hierarchy and don't distribute the actual costs collected for the cost object nodes, you must maintain the settlement parameters for the cost object hierarchy as a whole.