Ordinarily, when we talk about postings to a Cost Assignment Object we use the cost element as a vehicle to do so, and when we talk about Cost Elements, we are talking about P & L items. However, you may have a business requirement to control expenditures on fixed assets (which is a balance sheet item), in order to avoid spending above the budgeted amount.
In this post we will go through the process of how we could control expenditures on fixed assets (balance sheets items) through statistical internal orders and by defining the fixed asset reconciliation GLs as statistical cost elements (category 90).
1) Necessary Fixed asset settings must have been done
It is assumed that all necessary fixed asset settings especially the account determination settings are done. Without this, you will not be able to create the statistical Cost Elements.
2) All necessary Fixed Assets G/L Accounts are created
It is assumed that all necessary fixed assets G/L Accounts are created. If they are not, then create the G/L accounts using transaction FS00. It must be noted that you cannot create a Cost Element without at first creating the corresponding G/L account.
3) The Cost Assignment Object (Internal order) should be a statistical order
Create a statistical Internal Order using transaction KO01, or if the internal order already exists confirm that the “Statistical order” option is selected otherwise use KO02 to change the order.Click here for
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