Standard Cost and Profit Center Accounting US Overview

							Standard Cost and Profit
Center Accounting US
Overview

Building Block J08
               Standard Cost and Profit Center Accounting

               Cost center accounting
                    Cost and activity planning
                    Actual postings
                    Period-end closing



               Profit center accounting
                    Actual postings in profit center accounting
                    Reporting




 SAP AG 2003, Title of Presentation, Speaker Name / 2
               Cost Center Accounting

        Planning                                         Actual Postings
             Activity type planning                        Reposting of primary costs
             Planning of statistical key figures           Reposting of line item
             Primary cost planning                         Direct activity allocation
                  Planning of accruals                     Input of statistical key figures
                  Periodic reposting                       Reporting
                  Plan distribution
                  Plan assessments                      Period-End Closing
                  Activity input planning                    Accruals
                  Indirect activity allocation               Periodic reposting
                  Plan reconciliation                        Actual distribution
                  Price iteration                            Actual assessment
                                                              Indirect activity allocation
                                                              Settlement of internal orders




 SAP AG 2003, Title of Presentation, Speaker Name / 3
               Organizational Structures

             Chart of accounts                            0010


             Controlling area                             BP01


             Company code                                 BP01


             Fiscal year variant                           K4


             Currency type                               30 (USD)


             Standard hierarchy                           0001




 SAP AG 2003, Title of Presentation, Speaker Name / 4
               Cost Elements and Cost Centers

        Cost elements
             Primary cost element defined by chart of account 0010 (see Building Block Core FI)
             Cost element types of secondary cost elements:
                             Internal settlement
                             Overhead rates
                             Assessment
                             Activity allocation
             Cost element hierarchies are used

        Cost centers
             Simple standard hierarchy (0001)
             Alternative cost center groups (100 US)
             Cost center categories
                             Administration
                             Materials management
                             Production
                             Production service cost centers
                             Research and development
                             Sales and marketing
                             General service cost centers
                             Allocation cost centers




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               Activity Types/Statistical Key Figures/Internal Orders

        Activity types                                   Internal orders
                  Staff hours                              Accrual orders
                  Equipment hours                          Investment orders
                  Setup                                    Third party services (revenue postings are
                  Water                                     allowed)
                  Industrial waste water                   Statistical orders
                  Environmental protection
                  Internal transport


        Statistical key figures
                  Number of message units
                  Headcount
                  Gas consumption
                  Water consumption
                  Electricity consumption
                  Area in square feet
                  Number of users




 SAP AG 2003, Title of Presentation, Speaker Name / 6
               Profit Center

 Profit Center
           Dummy                                                                            Best
           Allocation                                                                       Practices

           Default
                                                                        H11                               H17            H18           H19
           Service                                                     Value Added                       Service        Allocation    Dummy
           Product A
           Product B                                    H111 Product             H119 Shared
                                                         Line                     Service, Default
           Shared Services

                                               1100               1200             6000          9000        7000           8000        9999
                                              Product            Product          Shared        Default     Service         Alloc--    Dummy
                                                 A                  B             Services                                   ation


                                                                                                                             Accrual
                                                                                                               Service       Order
                                                                                                                CCtr




 SAP AG 2003, Title of Presentation, Speaker Name / 7
               Profit Center Determination

               Expenses that are defined as cost elements
                    Profit center is derived from cost center or internal order

               Changes in stock
                    Default account assignment in profit and loss account
                    Manual assignment in document
                    Material master

               Other expense accounts
                    Default profit center

               Revenues
                    Default account assignment in profit and loss account
                    Manual assignment in document
                    Profitability segment, project, or sales order item

               Assessment, distribution, and allocation
                    Sending or receiving CO object (cost center, order)

               Assets
                    Transfer of receivables and payables



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