Product Costing

In Profitability Analysis (CO-PA), you can valuate documents by reading the cost of goods manufactured in the material cost estimates from the Product Cost Planning. You do this by defining so-called costing keys.

Which costing key is used for a particular document can depend on when the document is valuated in CO-PA (the "point of valuation"), the record type, the product sold, the material type of that product, or any other characteristic in your operating concern.

In this section you carry out the steps necessary in order to set up valuation using material cost estimates in your system:

1. When you maintain costing keys, you determine which cost estimates the system should read in order to valuate the data in CO-PA.
2. Once you have done this, you can assign these costing keys to a product or material type. Using the flexible assignment function, you can also assign costing keys to any characteristics in your operating concern.
3. Once you have done this, you need to assign the cost components in the cost component split to the desired value fields in CO-PA for each point of valuation.