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TFIN20_2 (Unit 8)

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Title of test:
TFIN20_2 (Unit 8)

Description:
Product Cost by Period

Author:
AVATAR

Creation Date:
25/05/2014

Category:
Others

Number of questions: 121
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To perform product cost by period Use either a cost object that allows for controlling by period, or Use a product cost collector that takes on the role of the cost object. Use production order None.
Postings in Materials Management, Production, and Financial Accounting result in actual costs. You post confirmations, goods issues and goods receipts with reference to the production order. You configure the orders so that these costs are assigned to the product cost collector automatically. You can assign other costs, such as process costs or material overhead, directly to the product cost collector. All period closing activities are performed using the product cost collector. All of the above None.
Periodic actual costs from the cost object can be grouped as follows: Costs for products for which a goods receipt in the warehouse has been listed in the current period (“delivery to stock”). Costs for work in process. These are target costs for the production quantities that have been confirmed for the operations but not yet delivered to stock. Production variances that are calculated using the following formula: Variances = actual debit - goods receipt - work in process. None.
Product cost collectors are created independent of ___________.
You can collect actual costs on a product cost collector for: Order-related production (that is, when you use production orders). Process manufacturing (that is, production with process orders). Repetitive manufacturing, for which the cost object is always a product cost collector. This also applies to KANBAN production methods. Mass production based on sales orders when you are using valuated sales order stocks, and in repetitive manufacturing when you are producing individual requirements materials. None of the above.
The product cost collector has “two uses.” True False.
In Product Cost by Period, costs are collected and analyzed on _________________.
In product cost by period, Production orders do serve as cost objects; they are used only for logistical processing. True False.
In order to ensure that the costs of a manufacturing order are collected on a product cost collector, you must make the necessary settings for the order type of the manufacturing order in Customizing for Product Cost by Order under __________.
You must manually create a product cost collector before you start production. When the manufacturing order is created, it is linked to the product cost collector automatically. True False.
If you neglect to create a product cost collector, the costs are collected on ___________.
If you neglect to create a product cost collector, the costs are collected on the manufacturing order. In this case, it is only possible to link the manufacturing order to the product cost collector as long as no ________ have been updated to the manufacturing order.
The production order is assigned to the product cost collector by ________________.
The system generates the production process ________ when the product cost collector is created.
Product cost collectors are linked to production orders and to the production versions in repetitive manufacturing in the same way. True False.
Production orders that are linked to product cost collectors receive the status ____.
When you create the product cost collector, you decide on which level the costs should be collected on the product cost collector. You can choose from the following levels: Production version Any BOM/routing combination Material per plant None.
If you are using the controlling level Production version, the product cost collector is created for the characteristics _____________________.
In repetitive manufacturing, you should always use the controlling level.
If you are using the controlling level BOM/Routing, the product cost collector is created for the characteristics_______________.
If you are using the controlling level Production Plant/Planning Plant, the product cost collector is created for the characteristics __________________.
Which of the following are correct(s) for Product Cost Collector and Production Process? If you are using the controlling level Production version, the product cost collector is created for the characteristics material, production plant, planning plant, and production version. SAP recommends this controlling level whenever you are using production versions. In repetitive manufacturing, you should always use this controlling level. If you are using the controlling level BOM/Routing, the product cost collector is created for the characteristics material, production plant, planning plant, BOM, and routing. BOM/Routing should only be used if the material does not have any production versions. The BOM is identified by the BOM usage and the alternative BOM. The routing is identified by the task list type and task list group. If you are using the controlling level Production Plant/Planning Plant, the product cost collector is created for the characteristics material, production plant, and planning plant. These product cost collectors have a number of features. For example, it is not possible to create a preliminary cost estimate for a product cost collector. This affects subsequent functions. Problems may arise if you make changes to the reporting points of the production versions.
A product cost collector is an order. The order type of the product cost collector must belong to ____________.
For product cost collectors, default rule __________ is specified in the table Cost Accounting-Relevant Default Values for Order Types and Plants.
STR (strategy for tracing factor determination) rule is linked to settlement type ___________.
__________ must be specified in all product cost collectors for which you want to calculate work in process.
For preliminary costing and simultaneous costing, enter the costing variant and valuation variant in the order type. This defines the valuation procedure for materials, internal activities, external activities, and business processes. It also determines which overhead structure is used to calculate overhead. True False.
Product Cost Collector: Default Values for Order Type order category 05 (product cost collector) default rule STR (strategy for tracing factor determination) A results analysis key must be specified in all product cost collectors for which you want to calculate work in process. For preliminary costing and simultaneous costing, enter the costing variant and valuation variant in the order type.
If a production order is assigned to a product cost collector, the status PCC will be assigned to _____________________.
A preliminary cost estimate can be generated for the production order but the results cannot be saved to the production order as planned values. True False.
Default rule __________ must be specified for the order type of the production order.
No _____________ is specified in the order type because WIP is calculated on the product cost collector.
The costing variant and valuation variant specified in the order type for the production order are used for the preliminary cost estimate for the production order (this cost estimate is for information purposes only). True False.
You can create _________________ for a product cost collector.
If you are using the controlling level “Material by Production Plant/Planning Plant”, you cannot create _______________ for the product cost collector.
In repetitive manufacturing, the activity quantities determined in preliminary costing can be used as default values for the confirmations. This requires that you make the appropriate setting in Customizing in ______________.
Target costs can be calculated on the basis of preliminary costing to(In Product cost collector): Valuate WIP with the WIP calculation function Valuate the scrap variances in the variance calculation function None.
In repetitive manufacturing, if the reporting point structure of your routing changes, you can update the preliminary cost estimate to convert the quantities confirmed at the reporting points to the new reporting point structure. True False.
The production process quantity structure is valuated as defined in __________ of the costing variant.
To calculate direct materials costs, the input quantities of the materials determined by__________ are multiplied by the prices selected through ______________.
To calculate the direct costs of production, the system multiplies _________________ by the prices selected in accordance with the valuation variant.
Template allocation is a new technique for allocating the costs of Overhead Cost Controlling. True False.
The process template is determined dynamically based on the following parameters: The costing sheet for the application of overhead is selected with the valuation variant. The overhead key is either entered directly in the cost object or derived from the overhead group from the material master (costing view 1). With the combination of overhead key and costing sheet, you can assign a template in Customizing. None.
Overhead is calculated using a costing sheet. The costing sheet consists of three types of rows:.
In preliminary costing for the product cost collector, the system uses the costing sheet specified in the ___________ valuation variant.
In simultaneous costing for the product cost collector, the system uses the costing sheet specified in the ________ valuation variant.
The following business transactions can result in actual costs on cost objects: G/L account postings in FI goods movements in MM repostings of primary costs repostings of line items internal activity allocations repostings of internal activity allocations direct assignment of personnel costs to cost objects using time sheets process cost allocation manual process allocation; template allocation; calculation of overhead; revaluation of activities at actual prices confirmations in Logistics that result in activity allocations; subcontracting.
You can confirm the order header or individual operations. In Product Cost by Period, it is recommended that you confirm _________.
Functions in the period-end closing process for product cost collectors: Template allocation Revaluation Allocation of overhead Calculation of work in process (WIP) Variance calculation Settlement.
You can determine ______ for activity types and business processes at the end of the period.
The actual prices are _______ divided by the activity and process quantities consumed.
You control whether revaluation at actual prices is possible in Customizing in the parameters for ______ that depend on the fiscal year, as well as in the master data of ___________.
___________ at actual prices is performed in the period-end closing process for the product cost collector.
You can revaluate activities and business processes at actual prices in the following components: In Product cost controlling In Profitability Analysis In Cost Object Controlling In the Project System.
Actual overhead calculation allocates cost objects with ____________.
Overhead is allocated to cost objects using __________ or _____________.
The overhead calculation process generates the following postings: Overhead costs are charged to the cost objects (product cost collectors, manufacturing orders, or general cost objects). The Overhead Cost Object (cost center, order, process) is credited. None All of the above.
Actual overhead calculation uses ____________ entered in the product cost collector.
Which of the following statements are corrects : Actual Overhead Calculation Actual overhead calculation allocates cost objects with actual overhead. Overhead is allocated to cost objects using quantity-based or percentage allocation rates. Overhead costs are charged to the cost objects (product cost collectors, manufacturing orders, or general cost objects). The Overhead Cost Object (cost center, order, process) is credited. The costs are updated using the secondary cost elements specified in the credit rows in the costing sheet. Actual overhead calculation uses the costing sheet entered in the product cost collector.
Calculating the WIP means valuating the unfinished goods (work in process). True False.
In Product Cost by Period, work in process is valuated at __________.
The operation quantities confirmed for the manufacturing orders or production versions are valuated at ____________ of the operation provided that the quantities are not scrap and no goods receipt has been entered.
If you are using a product cost collector, in many cases it is appropriate to calculate the target costs using _________ for the product cost collector.
The difference between the work in process in the current period and the work in process in the previous period corresponds to the inventory change of unfinished goods and is transferred to COPA when you settle. True False.
You can specify a valuation variant to select the cost estimate for the valuation of work in process and scrap variances at target cost. True False.
Target costs can be calculated on the basis of: Planned costs Based on an alternative material cost estimate The current standard cost estimate None.
You assign a valuation variant for work in process and scrap to a combination of ___________.
You assign the following cost elements to line IDs: All cost elements with which an order is debited and credited. With work in process at target cost, all cost elements in the costing used for the calculation of target costs for the valuation of work in process.
For valuation-relevant costs (such as direct material costs), you must create line IDs of category ____.
If you want no work in process to be created for entire line IDs (for example, because the costs are accrued), you must assign these line IDs to category _________.
The line IDs break down the costs incurred for the order into direct materials costs, direct production costs, material overhead, and so on. True False.
With a Results Analysis category how the Results Analysis is handled and which Results Analysis cost elements of type 41 the Results Analysis is saved under on the cost object. True False.
To which G/L accounts in Financial Accounting work in process is settled. The assignment is carried out: By Results Analysis category By Results Analysis cost element Controlling area.
When the work in process is settled, a posting document is generated in FI. When the system capitalizes the work in process, it credits Unfinished Goods Inventory (WIP) (balance sheet account) and debits Changes in Unfinished Goods Inventory (WIP) (income statement account). True False.
The scrap variation is calculated by valuating the ___________ with the target costs minus the planned scrap costs.
The unplanned scrap quantity is the difference between the __________ of the operation and its target scrap quantity.
In variance calculation, __________________ are used mainly to control the type of variance (total variance, production variance, or planning variance).
The standard system uses the following target cost versions: Target cost version 0 Target cost version 1 Target cost version 2 Target cost version 3.
In Product Cost by Period, WIP and scrap variances are always deducted from the actual costs. True False.
Variance Calculation: Variance Categories Input price variances Input quantity variance Resource-usage variance Remaining input variance Mixed-price variance Lot size variance Output price variance Remaining variance.
The planned scrap rate reflects the planned material requirements the planned internal activities included in the standard cost estimate of the material None.
Component scrap refers to materials that are _________ before they enter the production process. Component scrap increases the quantity of _____________.
Planned operation scrap is the scrap that is expected to be incurred in an operation. True False.
Assembly scrap can be calculated by the system on the basis of the operation scrap increases the planned order quantity and also the quantity of the input materials.
If you do not want the assembly scrap to affect the input quantities of certain input materials, _____________ in the BOM for these materials and enter the __________ in the BOM.
Lot size variances are only calculated if the planned quantity does not equal the confirmed quantity (the delivered quantity). True False.
Variance Calculation: Lot Size Variance Lot size variances can be calculated for all target cost versions that report variances on the output side. Lot size variance = Lot size-independent target costs x (1 – Control quantity / Planned quantity). Lot size variances are only calculated if the planned quantity does not equal the confirmed quantity (the delivered quantity).
If you want to perform mixed costing in Product Cost Planning, you must create a procurement alternative for each __________ and then define a mixing ratio.
Variance Calculation: Mixed-Price Variance If you want to perform mixed costing in Product Cost Planning, you must create a procurement alternative for each production version and then define a mixing ratio. The mixed cost estimate calculates a mixed price. This price can be written to the material master as the standard price. Mixed-price variances arise when the system updates the mixed price as the standard price in the material master and valuates the stock with it. The mixed-price variance results from the difference between the target credit (actual quantity x standard cost of procurement alternative) determined in the variance calculation process and the actual credit posted at the time of the goods receipt (actual quantity x standard price).
If you have not activated the field mixed-price variance in the variance variant, mixed-price variances are reported as __________________________.
You always enter the valuation variant for scrap in ______________.
Even if you calculate variances in a different target cost version (such as target cost version 1), the scrap variance may be valuated with the valuation variant specified in _____________.
Variances can only be calculated on a cost object if you have stored a variance key in its master record. True False.
You specify the variance key in the __________ of the material master record; it is transferred from there into the product cost collector (in Product Cost by Order, it is transferred into the manufacturing order).
In the variance variant, you specify which variance categories you want the system to report. You link the variance variant to the ____________.
You can specify the variance key as a ______________ in Customizing for Product Cost by Period or Product Cost by Order.
The variance key is then transferred into ____________________ created in the plant in question.
If the price control indicator is set to S, settlement debits the ________ and credits the _________. The value of the total variance is posted.
If the price control indicator is set to V, settlement debits the ________ and credits the _________.
Which of the following are corrects? You can settle the variance categories to Costing-Based Profitability Analysis (CO-PA). The only variances that are relevant for settlement to Profitability Analysis are those calculated on the basis of target cost version 0. The value fields are assigned to the variances for each category and cost element. None.
Which of the following statements are corrects? Settlement also transfers the work in process to Financial Accounting. The value of the total variance and the work in process can also be transferred to Profit Center Accounting. The value of the total variance is also updated in the Material Ledger (if active).
If the price difference account has a corresponding cost element, the price difference is settled to ______________________ in a similar way as to Financial Accounting.
The ________________ for a product cost collector must allow settlement to a material.
If you want to settle variances to Profitability Analysis, the _______________ must be selected and settlement to a profitability segment must be allowed.
The settlement profile is defaulted through the __________ of the product cost collector.
The settlement profile also has fields for the allocation structure and the PA transfer structure. These structures control settlement to _____________________________.
In the settlement structure, you indicate whether you want to settle with _________ or with _______.
In the PA transfer structure, you specify which variance category and cost element groups are assigned to which _________ in Profitability Analysis.
Values and quantities must be transferred into different value fields. True False.
The values can either be differentiated by the fixed/variable indicator or transferred as a sum (Fixed/variable indicator = 4). True False.
The performance of period-end closing activities, such as revaluation of activities, which have already been posted, is improved by using product cost collectors. This is because the number of cost objects is less than product costs per order. True False.
The revaluation of activity prices can be used to support the valuation strategy of Actual activity price of previous period. True False.
The revaluation of actual prices follows the allocation of process costs and overhead costs. True False.
Repetitive manufacturing refers to production planning and control without the use of_________ .
The planned requirements for repetitive manufacturing are normally created automatically by __________, although they can also be created manually.
The goals of repetitive manufacturing are as follows: Creation and revision of production quantities on a period and quantity basis Reduction in production control and simpler backflushing tools None.
With repetitive manufacturing, the controlling level is normally the _______________________.
The production version(s) are created in the material master record. You require ___________.
Specific master data is required for Repetitive Manufacturing. This includes the repetitive manufacturing profile the product cost collector. the production order the internal order.
The repetitive manufacturing profile in the master data of the MRP view determines whether Activities are backflushed Reporting points are used A goods receipt is automatically posted after the last reporting point has been confirmed None of the above.
If you want to calculate work in process and scrap during period-end closing, you must record backflush quantities at the ________________.
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