The inventories on the production orders that have not yet been completed are posted to a work-in-process (WIP) account at the end of the period (rather than to a stock change account, as in the period accounting method).
For the completed orders, the SAP System checks if any supplementary account assignment to this account has resulted in amounts that are posted as variances.
When a production order is settled to inventory, any WIP postings that took place at the end of the previous period (see above) are canceled. Then the material is valuated with the moving average price, and the inventory is increased by the accumulated actual costs.
If the price control indicator in the master record of the material to be debited is set to S, the inventory is increased according to the standard price; the difference versus the actual costs is posted to an order variance account. The offsetting posting is made to the material stock account for finished products.
More terms such as direct costs of production in Dictionary D.
- Manual Dirty Price:
- Help The price of a bond inclusive of accrued interest direct costs of production definition.
- Manual Discount Method:
- Help Method by which a pricing discount is offered to the customer or consumer direct costs of production explain.
- Manual Decision Status:
- Help A condition of processing of a decision tree. A decision state combines one or more decision steps in a strict sequence. It can be used as a jump target direct costs of production what is.
- Manual Data Container (BC-FES-GRA):
- Help information for the application. The objects it contains have a series of fields containing attributes. The objects are identified by a unique ID; the rest of the fields can be defined according to direct costs of production meaning.
- Manual Delivered Ex Quay:
- Help commercial term under which the seller fulfills the seller's obligation to deliver when the seller has made the goods available to the buyer on the quay (wharf) at the named port of destination direct costs of production abbreviation.
