Actual Cost & Actual Revenue

[Former Member]

Dear Sir,

Can you please tell me what Actual Cost & Actual Revenue & also what is difference between Actual cost & Actual Revenue.

Regards,

Gagandeep Singh.

[Former Member · Accepted solution]

Dear Sir,

I am booking Revenue & Expenses, both are in same WBS Element. Let us assume that my expenses is of Rs.100 & my revenue is of Rs.150, now if I am executing Report S_ALR_87013558 in actual's system is showing Rs.50 only.

And also how can I match my report S_ALR_87013558 with CJI3.

Please do the needful.

Regards,

Gagandeep.

[Former Member · Accepted solution]

Hi,

The report which you have mentioned displays Budget/Actual/Commitment/Rem.PLan/Assigned. Let us know how have you booked the actual cost. Mere expenses wont get you any values under the actuals column. If you are procuring some material component GR/GI will cause actual cost postings. If you are using internal activities, confirmation will cause actual cost posting.

CJI3 displays actual cost line itmes for projects. You can run the report CJI3 by choosing a specific WBS or a range of WBS/Network/Activity and match the values by choosing the appropriate attribute against which you have booked your cost.

Regards,

Gokul

[Former Member · Accepted solution]

This message was moderated.

[Former Member]

Dear Sir,

In my case Report S_alr_87013558 amount is showing in -ve & when I am goin in callup report amount is in +ve

Please do the needful that how could I match the report S_alr_87013558 with callup report.

Regards,

Gagan

[Former Member]

Hi,

Actual cost is the cost spent on doing or processing a particular task, activity etc. It would include several other costs like labour, material, service from third party, general cost etc used for completing a task.

Actual Revenue is the revenue that is billed and received from the client based on a Sales agreement or contract.

Whereas planned cost and revenue is only used for planning purposes.

Thanks & Regards,

Kabir

[Former Member]

Hi,

IN any project you incur some expenses and at the same time when you sell something you generate revenue. But in the intitial stages you cant say what is the actual cost that you are going to incur or what is the actual revenue you are going to generate at a certain point/phase in a project.

Actual Cost refers to for eg. suppose you procure a bearing for your project. You will create a PR and then a PO. Until this stage system will treat this as a commitment. Once you do the GR/ GI this cost is converted to actual cost. Similarly lets say that you are building a ship and you have procured some components to build that ship. That procurement will lead to a cost because you are incurring some expenditures. Once you build that ship and sell it and bill the customer you will generate revenue. Till the time you receive the payment/revenue from your customer system treats this as Planned revenue. Once you bill your customer and receive the payment system will treat this is as the actual revenue.

So basically Actual Cost refers to the expenditures incurred in carrying out a project and Actual revenue refers to the income generated after billing the customer and receiving the payment for the goods sold.

Its just a basic explanation but hope this clears your query.

Best Regards,

Gokul