# Cost calculation of work centers

Hello ,

While doing my researches about formulas for calculating cost of work centers , I found that we have to enter the price of the activity suppose it's 30USD /hour and then number of hours working suppose 7 hours then the system calculate 7x 30 which mean 210USD for this activity .

But sometimes the price of an activity isn't available , so how can sap deal with calculation of cost of an activity??

Thanks.

##### Rahul Handa replied

Hi Marouane

You need to maintain cost center and activity type and assign the same in work center. If this has not been done you can done warning for costing at the time of order creation. You can see the same in cost log in production order. Also check below links.

Costing relevancy in Production/Process order

Understanding Production Order Variance - Part 1 Performance Evaluvation Through Standard Costs

regards

Rahul