During settlement, costs incurred under the primary and
cost elements by a sender are allocated to one or more
receivers. When you settle by cost element, you settle using the
appropriate original cost element.
settlement structure comprises one or several
settlement assignments. A settlement assignment shows which costs
(origin: cost element groups from debit cost elements) are to be
settled to which receiver type (for example, cost center, order,
and so on).
You have two alternatives in settlement assignment:
You assign the debit cost element groups to a settlement cost
You settle by cost element - that is, the debit cost element is
the settlement cost element.
This is a good idea, for example, if
the required capital spending for an asset you are building
yourself is to be monitored. These costs are settled by cost
element to an inventory account in Asset Accounting at the end of
the year, or when the measure is complete.
Each settlement structure must fulfil the following
A settlement structure is assigned to
each object to be settled. All cost elements in which costs are
incurred, must be represented in the appropriate settlement
Each cost element in which costs are
incurred may be present only once within a settlement structure.
Only one settlement cost element may be assigned to a source within
a particular settlement structure.
When you settle to materials you do not need to create
settlement cost elements.
You create a settlement structure as follows:
1. Choose New
entries to enter an identification code and a description
for your settlement structure. Save your entries and goto the
settlement structure screen.
2. Choose Detail to
branch to the screen for creating settlement assignments.
3. Choose New
entries to enter one or more settlement assignments in
your settlement structure. Save your entries and goto the
settlement assignment screen.
4. Choose Origin in
the settlement assignment for your controlling area.
Choose New entry to
specify as the origin a cost element group under which the costs
are to be posted to the sender. If the cost element group which you
specified does not yet exist in the chart of accounts that is
assigned to your controlling area, you can create the cost element
group at this point.
5. By choosing
settlement_cost_element you have two
For the account assignment categories which you want to settle
to cost elements choose the indicator "KAG" (debit cost element =
settlement cost element). Bear in mind, however, that the
performance of the R/3-System is adversely effected when you use
settlement to cost elements. The fewer settlement cost elements you
use, the better the performance of the R/3-System.
After you have created a settlement structure, you can choose
from the settlement structure screen to display a particular
settlement structure as a hierarchical list. Choose
table_view -> lists.
results analysis key for a sales order item is
proposed through the requirements class, the system does not settle
the actual costs and actual revenues to results analysis but
instead settles the cost of sales, the reserves for imminent loss,
and the revenues calculated in
results analysis to Profitability Analysis.
For this reason you must ensure that all cost elements under
which revenues, sales deductions, the cost of sales, and reserves
for imminent loss are updated are listed in the settlement
structure. These cost elements must also be listed in a PA transfer