How To Fix FARR_CONTRACT_MAIN136 - Recognized Cost acct. cannot derive from ref. acct. &1 for POB &2

SAP Error Message - Details

• Message type: E = Error

• Message class: FARR_CONTRACT_MAIN - Revenue Accounting: Contract Management

• Message number: 136

• Message text: Recognized Cost acct. cannot derive from ref. acct. &1 for POB &2

What causes this issue?

None of the account determination rules that you have defined return the
<ZK>Recognized COGS</> account as expected.

System Response

The system prevents the performance obligation and its contract from
being created or updated. The contract is listed in the Contracts with
Errors worklist for review.

How to fix this error?

Make sure that at least one of the determination rules can return a G/L
account as the <ZK>Recognized COGS</> account. This account is
determined by the rules in the <LS>Recognized COGS</> section.
<ZH>Note:</> This typically occurs when the attributes of the
performance obligation and the reference account do not match any of the
determination rules that you have defined for this account.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FARR_CONTRACT_MAIN136 - Recognized Cost acct. cannot derive from ref. acct. &1 for POB &2 ?

  The SAP error message FARR_CONTRACT_MAIN136 indicates that there is an issue with the recognized cost account in the context of a contract or project. Specifically, the error states that the recognized cost account cannot be derived from the reference account for a specific Profitability Object (POB).
  Cause:
  This error typically arises due to one of the following reasons:
  
  
  Configuration Issues: The configuration settings for the account determination in the system may not be set up correctly. This can happen if the mapping between the reference account and the recognized cost account is not properly defined.
  
  
  Missing or Incorrect Master Data: The master data for the accounts involved may be incomplete or incorrect. This includes the Profitability Segment, Cost Elements, or other related master data.
  
  
  Inconsistent Account Assignment: The account assignment for the recognized costs may not align with the expected structure defined in the system.
  
  
  Authorization Issues: Sometimes, the user may not have the necessary authorizations to access or modify the accounts involved.
  
  
  Solution:
  To resolve this error, you can take the following steps:
  
  
  Check Configuration:
  
  Review the configuration settings for account determination in the relevant module (e.g., Controlling, Project System).
  Ensure that the recognized cost account is correctly mapped to the reference account.
  
  
  
  Review Master Data:
  
  Verify the master data for the Profitability Object (POB) and ensure that all necessary accounts are correctly defined.
  Check the Cost Element settings to ensure they are properly configured.
  
  
  
  Account Assignment:
  
  Ensure that the account assignment for the recognized costs is consistent with the expected structure.
  If necessary, adjust the account assignments in the relevant documents or transactions.
  
  
  
  Authorization Check:
  
  Confirm that the user has the necessary authorizations to access and modify the accounts involved in the transaction.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for specific guidance on the configuration and account determination processes.
  
  
  
  Testing:
  
  After making changes, perform tests to ensure that the error no longer occurs and that the recognized costs are being processed correctly.
  
  
  
  Related Information:
  
  Transaction Codes: You may need to use transaction codes like OBYC (for account determination) or KP26 (for cost planning) to check and modify the relevant settings.
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance.
  Support: If the issue persists, consider reaching out to your SAP support team or consulting with an SAP expert for further assistance.
  
  By following these steps, you should be able to identify and resolve the underlying cause of the error message FARR_CONTRACT_MAIN136.