Primary and secondary cost elements are broken down into different cost element category. These categories will determine its uniqueness within the controlling module.
While defining the primary or secondary cost elements (CE) you need to assign this defaulted cost element category in sap.
Category for Primary Element
Primary element can be assigned to following categories;
- 01: Primary Cost Elements
01 is assigned to primary cost accounting transactions which represent an expenses account of sap fi module.
- 03: Imputed Cost Elements and 04: Imputed Cost Elements, Target=Actual Method
It’s used to post the calculated imputed costs in controlling module
- 11: Revenue Element
Revenues are tracked in profitability analysis and profit center accounting of controlling module. These types of primary elements are used to post revenue in controlling.
- 12: Sales Deduction
These categories are used to track the sales adjustments and sales deductions. Items like sales discount will be assigned these categories.
- 22: External Settlement
These categories are used when you want posting from controlling module to financial accounting module. For example when you want to do settlement from an internal order to general ledger accounts you have to use category 22 for this.
Secondary Cost Element Category
Secondary cost element (CE) categories are used for internal posting in controlling module. Following categories are used;
- 21: internal settlements
While doing a settlement from one cost object to another we use secondary CE created with category “21-internal settlement”.
- 31: result analysis
It’s used to analyse results related to an internal order or project or other objects
- 41: overhead
Indirect expenses are allocated from cost centers by using this secondary cost element category “41: overhead” in sap.
- 42: assessment
With an assessment cycle in sap, you can assign expenses from one object to others. These are assigned with the help of a secondary CE which is created with category assignment as “42: assessment”
- 43: indirect activity allocation
It’s used in internal activity posting while allocating costs like labour and overhead from an order.
Following secondary elements are rarely used in sap;
- 80: internal revenue
- 81: change in stock from internal shipments
- 82: deliveries from other profit centers