Knowledge Management

Question:
From your earlier posts it appears that it is impossible to post delivery costs to a separate expense account rather than stock when performing the good receipt for freight and other such delivery costs without creating additional line items in the PO.
What if these delivery costs are percentages or other dependent values on the base material price.
Are there any settings within the condition type such as with in condition class category that would allow you to do this. I played around with condition category D (tax) and it allows me to post a P&L account. This may contain risks of which I am not aware.
Do you have any thoughts on how this could be achieved without creating additional PO line items. Also, is there anywhere the different settings within the configuration of the condition type may be explained.
Answer:
Hi,
Prior to responding to your inquiry, let me clarify one point that all planned delivery costs shall be posted to the stock account as far as the financial control is concerned since this would be part of the delivered costs of material to warehouse and therefore, any inquiry of charging these costs to another account shall have an impact on the balance sheet which would, therefore, require an prior consent with FI/CO Team.
In fact, this is possible that delivery planned costs can be posted to a particular account in accordance with the setting via Account Key via Transaction OMER or MEK0. The setting will be - IMG ---> Material Management ---> Purchasing ---> Conditions ---> Define Price Determination Process ---> Define Transaction / Event Key. Double click on Transaction Key which leads to the next screen where we can maintain the new Account Key. The linkage between Account Key and specific G/L Account will be defined via Transaction OBYC.
Hope this helps.
Cheers,
HT
Answer:
Thanks so much Ha Tran for your above suggestions.
However when I use a different transation key which is coded to an expense account - it still increased the value of the stock account by the amount of the delivery cost.
If the stock cost was 100 and delivery cost was 15 then the posting I would like to see is as follows:
dr stock 100
dr delivery exp 15
cr gr/ir 100
cr delivery clg 15
Answer:
Hi,
What is the cost allocation in GR Document?.
Cheers,
HT
Answer:
Ha Tran thanks once again for your help.
The expense account would hit a cost center via OKB9.
Also we have scenarios where the posting should be as follows:
Dr Inventory - 100
Dr Customs accrual (balance sheet account)- 15
Cr GRIR - 100
CR Customs clearing - 15
Can this be achieved where Customs is a fixed rate per inventory value. We do not want this to be included into the stock account.
Ha Tran I really do appreciate all your help.
Answer:
As Ha Trans said always frieght expenses will be added to inventory cost. BUT there is one work around which you can try to achieve the account postings as follows:
Inventory 100
Freight 15
To
GR/ IR 100
Freight clrg 15
In pricing schema create one more condition type as delivery cost and maintain the value for this as always negative. Place this condition after your regular condition. Always the value for this condition will be 100 % of the freight condition. attache transaction key to this condition type and maintain a/c determination.
try this and let us know the results
cheers
Answer:
a small correction to that...for the new % condition type do not assign condition category as Delivery cost..other attributes can be same as delivery cost condition type and make this condition type as 100 % of your regular freight condition type.
( For all 'freight' u can read it as 'Customs' in your case )
Answer:
thanks so much for your replies:
What condition category should I make it? I have been told if you configure a condition class as 'A' and category as 'tax' there could be potential risks in the system - is this true?
Answer:
if it is working then u can maintain condition class as A , calculation type A and condition category as blank
i am not very sure about the implications of using condition cat. for taxes
cheers
Answer:
Hi
I find the simplest way of separating out delivery costs so that it does not post to the stock account is to create a dummy material called delivery (make it a non stock material) and it will then need an acount assignment category in the PO - you can then push it towards your desired P&L.
There is another posting where Bart explained how to achieve this using a pricing condition type but it seemed unreliable and complex.
The choice is yours...
Regards,
Roos
Answer:
I created a condition type as ASP suggested with 100% negative. This does seem to work. The only thing I am concerned about is the condition category - I have made it blank. This works well however I don't know if there are unforseen risks associated with configuring a condition type in this manner.