"In Synch" Ledgers! Update the "Cost of Goods Sold" to Both Your G/L and Costing-Based CO-PA Ledgers Solely from the "SD Billing" Transaction... With 100% Standard R/3 Functionality!

  • by Chris Kupczyk, Certified SAP FI/CO Consultant, EDS
  • April 15, 2002
This article identifies a creative use of standard R/3 functionality that allows a single end-user transaction (SD Billing) to simultaneously act as the "Cost of Goods Sold" source for both your G/L and Costing-Based CO-PA ledgers. After a brief explanation of why the "single source" design is not the main option offered by the SAP R/3 application, the article briefly describes how the single-source design pieces are interconnected, and then shows you, step by step, how you can set your system up for single-sourcing using 100 percent standard R/3 functionality.

The typical sales cycle as performed in an SAP R/3 system consists of three unique end-user transactions (sometimes executed by three unique groups of people in the company):

1. Create and save a sales order.

2. With reference to that sales order, create a delivery, and post the "Goods Issue" of the material(s) to the delivery that the customer ordered.

3. With reference to that delivery document, create and save an SD Billing document.

In this article, I will identify a creative use of standard R/3 functionality that allows a single end-user transaction (SD Billing) to simultaneously act as the "Cost of Goods Sold" source for both your G/L and your Costing-Based CO-PA ledger. This might prove to be a useful option for some R/3 sites where the traditional design is in place (i.e., where the "Goods Issue to Delivery" acts as the "Cost of Goods Sold" source for your G/L, but the SD Billing transaction acts as the source for Costing-Based CO-PA).

Chris Kupczyk

Christopher Kupczyk of EDS has spent the last fifteen years installing financial systems throughout the US As a certified SAP FI/CO consultant, he has implemented most every accounting-based module, with Profitability Analysis being his personal favorite. When not out on the road, he can be found at his new home in Mesa, Arizona avoiding saguaro cactus on his mountain bike and enjoying the "dry heat" with his wife and two girls.

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