Maintain Sale Definition – A summary of the activity

Financial transactions form the basis of cost analysis and hence the need to capture cost centers at the time of financial postings becomes inevitable. Purchase, Sales and Inventory transactions will derive and default cost centers by a mechanism addressed in this business component.

This activity allows you to determine a cost center to which sales transactions will be posted. You can derive these cost centers based on specific parameters. Through this activity, sales transactions derive the cost centers for the COGS account and TCD account. Cost center rule can be defined for COGS and TCD account using the mandatory parameters or for a set of additional parameters.

Illustration 1

The following example illustrates a sale cost center definition with mandatory and additional parameters

Definition I, illustrates the definition for the mandatory parameters:  for company: “TestComp”, its finance book: “TestFB” and the COGS account: 900003, a cost center rule has been defined with cost center CC1 and effective from 01-Jan-2002. Any transactions posted to the COGS account 900003 for “TestComp” and “TestFB” from 01 Jan 02 will update the cost center CC1.

Definition II, illustrates the definition for additional parameters: for company “TestComp”, its Finance book “TestFB” and the COGS Account 900003, a cost center rule can be defined by selecting additional parameters as “Yes”. For definition II, cost center and effective from date are specified along with the additional parameters as shown in the illustration below:

Illustration 2

The following example illustrates a sale cost center definition with additional parameters.

Company – “TestComp”, Finance book – “TestFB”, COGS Account – “900003”

For Company “TestComp”, Finance book “TestFB” and COGS Account 900003, the table shows an illustrative list of additional parameters such as Sale Type, Sale Order Type, Processing Action etc.  For each definition, a cost center has been specified with an effective from date

In Definition I, the additional parameters: sale order “Normal”, sale order type “Import’, processing action “Make” and for all item groups defined for sales costing, for all item codes and the corresponding variants mapped to these item groups, have been mapped to cost center CC1. This definition is valid from 01-Jul-02.

In Definition II, the additional parameters sale order “Normal”, sale order type “Import’, processing action “Make” a specific item group IG1, item code I001 and the variant IV001, have been mapped to cost center CC2. This definition is also valid from 01-Jul-02.

In Definition III, the additional parameters: sale order “Consignment”, sale order type “Domestic”, processing action “Buy”, item group IG1, item code I001 and the item variant IV001 have been mapped to another cost center CC3 and effective from 01-Jul-02

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