SAP Knowledge Base Article - Public

2750025 - Material Actual Costing For Material Variance Calculation

Symptom

The material actual costing variance is showing some unexpected amount.

Environment

SAP Business Bydesign.

Reproducing the Issue

  1. Go to the Inventory Valuation work center.
  2. In the Actual Costing view navigate to the Material Actual Costing sub-view.
  3. Select the Material in Question and choose the line for which the Lifecycle Status shows Calculated Successfully and Posting Status as Posted.
  4. Press view.
  5. In the new screen press View All.
  6. You will notice the last line with the Cost Object Type as Expense Item and the variance amount for this line is not expected.

Cause

If there are more than one material cost rollup runs executed and its allocation is released. Such postings will cause for the recalculation of the material actual costing and this will cause the variance where required.

Resolution

To Calculate the variance.

  1. Go to the Inventory Valuation work center.
  2. Navigate to the Master Data Materials view.
  3. Select the respective Material and press View Cost History.
  4. Change the Period if necessary.
  5. Find all the Business Transactions of Type Actual Cost Allocation.
  6. Sum up all the Capitalized Amounts. The result will be the variance displayed as the Material Actual Costing variance.

Example:

Due to some goods movement, If there are three Actual Cost Released in the same period then this may cause the variance.

From Actual Cost Allocation YYYY-00-0000 the capitalized amount is 3000

From Actual Cost Allocation YYYY-01-0001 the capitalized amount is 2000

From Actual Cost Allocation YYYY-02-0002 the capitalized amount is -4000

So, the resulting variance is -1000, which will be shown in the variance field of the latest Material Actual Cost posting

Keywords

Variance in material actual costing , KBA , SRD-FIN-INV , Inventory , Problem

Product

SAP Business ByDesign all versions