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 Actual Costs and Funds Commitments in Product Cost by Sales Order Locate this document in the navigation structure

Use

In Product Cost by Sales Order you can collect actual costs and actual revenues for sales order items that carry costs and revenues. You can view the actual costs at any time and compare them with the planned costs.

If you are using a valuated sales order stock , you can:

  • View the commitment for the sales order item at any time

  • View the funds commitment for the sales order item at any time

The funds commitment in inventory includes the value of the materials in the sales order stock (that is, the value of the materials that have a relationship to the sales order item but have not yet charged the sales order item).

Note Note

If you are using a nonvaluated sales order stock, you cannot view the commitment or the funds commitment in inventory.

End of the note.

Features

Commitments

The commitment provides information on contractual obligations that have not yet incurred actual costs.

Funds Commitment

The funds commitment in inventory includes the value of the materials in the sales order stock.

If you are using a valuated sales order stock, the sales order item is not charged with the actual costs of the make-to-order materials until they are withdrawn from inventory and delivered to the customer. This means that when the products are delivered to the customer:

  • The value of the sales order stock is reduced

  • The funds commitment in inventory is reduced

  • The sales order item is debited with the actual costs

Actual Costs

For information on debiting sales order items with actual costs when you are using a valuated sales order stock, see the following section:

Actual Costs in Product Cost by Sales Order: Scenario (valuated sales order stock)

For general information on actual costs in Cost Object Controlling , refer to the following section: Actual Costs in Cost Object Controlling

Actual Revenues

Actual revenues are entered on the sales order item as a result of the following business transactions:

  • Billings in Sales and Distribution (SD)

  • Postings in FI

  • Resource-related billing

In this case, the prices for the customer-specific activities are not fixed in a contract or calculated with standard price calculation. Instead, the expenditure incurred is invoiced. The invoice shows the individual materials, internal activities, and other costs.

  • Reposting of revenues in Controlling (CO)

Funds Commitment Report in the Information System

The Funds Commitment report in the information system of Product Cost by Sales Order shows the following information on the sales order item:

  • Planned values

  • Commitments from purchase requisitions

  • Commitments from purchase orders

  • Funds commitments in inventory

  • Actual values

See also:

Product Cost by Sales Order: Scenario (valuated sales order stock)

Example for Product Cost by Sales Order: Quantity and Value Flow (valuated sales order stock)

For information on commitments, refer to the following section:

Commitments

For information on the special requirements with a nonvaluated sales order stock, refer to the following section:

Special Case: Nonvaluated Sales Order Stock

For information on the Funds Commitment report in the information system, see the document Product Cost Controlling Information System in the following section:

Funds Commitments