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Wrong Calculation of Sales & Administration Cost and COGS

Dear Sir,

We have a scenario where we charge Over-Head on the Labour . Accordingly we have made necessary setting in the configuration . But in the Cost Run , we find that COGS / Sales & Administration Cost is getting calculated wrongly .

To explain it further , say Material Cost is 100 and Labour Cost is 40 . Over-Head defined on Labour is say 50% .

In the Ck11n , we are getting following values :

COGM ---> 140

Sales & Administration Cost -


> 60

COGS -


> 200

So the mistake is , that in "Sales & Administration Cost " it is clubbing both Labour and OH . So instead of 60 the value must have been 20 .

Same is true for COGS , here instead of 200 , correct value must have been 160 .

Kindly guide me , how to resolve this error .

Regards

Sonia

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