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System booking Cost variance within same cost org

in Costing 1 comment

Hi All,

We are using Standard Costing and valuation structure is setup at Cost Org level. We have a Transfer order where material is transfered between two Inv orgs within same Cost org. Cost is defined at cost org level ( Material = 4000CNY & Royalty = 1500 CNY), material is issued and shipped at same pirce i mentioned. Upon receiving system showing cost variance for Royalty (1500 CNY).

Can you please help me to understand why system booking variance here. Pasting screenshot for reference:

Thanks,

Manish

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