What is results analysis in SAP CO-PC - Product Cost Controlling?

SAP Term: results analysis

• Component: CO-PC

• Component Name: Product Cost Controlling

• Description: Periodic valuation of long-term orders and projects. Results analysis valuates the relationship between the costs and a measure of the order's progress toward completion, such as the revenueor the quantity produced. &EXAMPLE& If the measure of an order's progress is the actual revenue, the cost of sales appropriate for that revenue is calculated. The revenue, cost of sales, and reserves for imminent loss if calculated represent the profit on the order for the period, and are settled to Profitability Analysis. The calculated cost of sales is compared to the actual costs, and either work in process or reserves for unrealized costs are created for the difference. Postings are made for these values in Financial Accounting.

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• Key Concepts: 
  Results analysis in SAP CO-PC Product Cost Controlling is the process of analyzing the actual costs of a product or service against the planned costs. It is used to identify variances between the two and to determine the reasons for those variances. This analysis helps to identify areas of improvement and cost savings. 
  
  How to use it: 
  Results analysis in SAP CO-PC Product Cost Controlling can be done by using the Cost Analysis (CO-PC-CA) component. This component allows users to view and analyze actual costs, planned costs, and variances between the two. It also provides detailed information about the cost elements that make up the total cost of a product or service. 
  
  Tips & Tricks: 
  When performing results analysis in SAP CO-PC Product Cost Controlling, it is important to consider all of the cost elements that make up the total cost of a product or service. This includes direct materials, direct labor, overhead, and other costs such as taxes and shipping. Additionally, it is important to consider any external factors that may have an impact on the cost of a product or service, such as changes in market prices or exchange rates. 
  
  Related Information: 
  For more information about results analysis in SAP CO-PC Product Cost Controlling, please refer to the official SAP documentation at https://help.sap.com/viewer/product/SAP_CO_PC/731/en-US.