Orders can only be selected for variance calculation if a
variance key is entered in the order.
You can calculate variances either for the entire life of the
object (cumulatively) or for a specific posting period (by
The decision whether variances are calculated cumulatively or by
period used to be made in the variance key. Starting with Release
3.0C the decision is made through the default rule in the order
In the Product Cost by Order component, you can calculate
variances cumulatively (default rule PP1) or by period (default
In the Product Cost by Period component, you always calculate
variances by period.
In cumulative variance calculation, the target costs are
calculated using the quantity that you delivered to stock for the
order. The actual costs refer to the entire life of the order.
Variance calculation requires that the order have the status
In variance calculation by period, the target costs are
calculated on the basis of the quantity that you delivered to stock
in the period. The actual costs refer only to the period in which
you calculate variances. Variance calculation requires that a goods
receipt was posted for the order in the period. If this is not the
case, the system calculates only remaining variances.
The variance key specifies the following:
scrap is calculated in addition to the variances
Whether adocument is written containing the date, user name,
and change made (line item)
The following requirements are necessary in order to calculate