Example: Inventory Differences
The current quantity in a material master is 100 units. During inventory taking, you determine that only 90 units are there. The current material price is 500.00. The profit center of the material is P100.
FI posting
expense from inventory differences |
5000.00 |
(PrCtr P100) |
to |
stock |
5000.00 |
In this example, the profit and loss account Expense from inventory differences does not need to have been created as cost elements in order to be transferred to Profit Center Accounting. If they are cost elements and are assigned to a cost center, the amounts would be posted to the profit center of a cost center.
If your company is divided into profit centers according to products, this is generally not desirable.
