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SAP Product Costing-Joint/CO-Product and By Product Process

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CO-Product/ Joint Production.

When two or more products of equal importance are simultaneously produced, then they are known as joint products.

A). CO Product Costing: Complete Live Scenario.

1). Define Source Structure, b).Assign in Settlement Profile,

2). Material master creation with 2 CO-Products.

3). BOM creation for with CO products , 4). Routing (Just Normal Process)

5). Equivalence numbers maintenance for CO Products in Material Masters

6). Standard Cost estimation for CO products -CK11N & CK24

7). Explanation of CO-Product Cost Calculations.

8). Production Order creation and Observations in Production with CO Products.

9).Goods Issue, Activity Confirmation, Goods Receipt with respect to Production Order.

10).Accounting Treatment of Goods Receipt of CO Product

11).Preliminary Settlement for Co-Products and Explanation of Cost.

12).Variance Calculation and 13).Settlement of Production Order

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                          By-Product Costing Process

Steps of By Product Costing: Complete Live Scenario.

1). Create GL Account as By Product Receipt , 2). Assign in OKTZ,  3).Assign OBYC settings

4). Material Creation Primary and Secondary ( By Product), 5).BOM design for BY product, 6).Routing as usual

7)Standard Cost estimation for products -CK11N & CK24

8).Testing Production Cycle along with BY Product movement.

9).Goods Issue, Activity Confirmation, Goods Receipt with respect to Production Order.

10).Accounting Treatment of BY Product

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                          Special procurement Process

1). New Plant (Sales/Depot) creation by coping from existing Plant

2). Special procurement key configuration for depot plant

3). Standard Costing estimation of Material with two (Mfg & Depot )plants.

4). Transfer Posting from Manufacturing Plant to Depot/Sales Plant

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