• Overhead costs are costs which cannot be assigned directly to the production of goods or services. You assign all overhead costs to the locations where they occur or to the actions leading to their creation. You have to plan, record and analyze the costs on appropriate objects.
• Cost elements are used to record, distribute, and allocate the operational expense of an enterprise on a costing basis.
• Cost Element Accounting (CO-OM-CEL) indicates which costs and revenues have occurred and is used for reconciliation of cost controlling with the Financial Accounting (FI) module.
• The cost center represents a separate location of cost occurrence within a controlling area. The definition can be based on functional requirements, allocation criteria, activities or services provided, physical location, and/or area of responsibility.
• The activity type defines the various activities produced or supplied by a cost center. Activity inputs from one cost center to other cost centers, orders, or business processes represent utilization of the cost center’s resources. Valuation of the activity quantity takes place with a price calculated on the basis of business or managerial aspects.
• The business process gathers together sequences of activities within an organization across cost center boundaries. It can be used to structure organizational processes according
• Overhead orders are used to plan, collect, and analyze costs of an organizational
• The different CO objects support multiple methods developed by SAP for allocation of values and quantities, each according to the managerial accounting function of the object in question.
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SAP – FI/CO (Financial and Controlling)
Explanation about ERP, what is SAP? R/3 architecture sap methodology
Meaning, Defining & Assigning the organisation structure like
Create SUB-Asset master – Asset purchase posting – Sub Asset purchase posting – View Individual Asset – View Asset balances by Business Area – Asset Sale posting – Asset Transfer – Asset Scraping – PAYMENT TERMS – REVERSALS – CASH JOURNAL – Controlling – – Define Controlling Area/li> – Define Number ranges for controlling – Documents – Versions – Cost Element Accounting – Types of Cost elements/li> – Different types of cost elements – Different types of defining cost elements – Primary cost elements – Secondary cost elements – Make changes of cost elements – Defining Cost element group – Posting using cost elements – Cost center Accounting – Defining cost centers/li> – Define Cost center group – Cost center standard hierarchy – Repost cost – Repost controlling line items – Line item display – Cost center wise report – Settlement & Distribution – Define Cost cycle – Cost center wisevariance report – Defining cost center under field status group as a required entry – Posting of the documents using cost elements and cost centers – Internal orders – Define overhead rates & groups – Define calculation bases – Integration With Mm & Sd – – Employees to learn at their own pace and maintain control of learning “where, when and how” with boundless access 24/7by 21st Century Software Solutions. [email protected] – http://www.21cssindia.com/courses/sap-fi-co-online-training-40.html