SAP Knowledge Base Article - Public

2667268 - Project Expenses Assigned to Sales Order Item not Realized


  • You verify that all expenses of customer project XYZ are assigned to a sales order item (XYZ stands for the project ID).
  • But you still notice that one/some of these expenses appears unassigned on the Deferred Cost of Good sold account.


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Reproducing the Issue

  1. In the Project Management work center go to the Invoice Preparation - Not Invoiced times and expenses view.
  2. Find project XYZ.
  3. Press Edit Time and Expenses.
  4. Verify that all expenses are assigned to a sales order item. 

Now check the Deferred CoGs account:

  1. In the Cost and Revenue work center go to the Sales Document Items view.
  2. Open the Advanced search. 
  3. In the project ID field, enter XYZ and press Go.
  4. The sales order items associated with the project XYZ appear.
  5. Select one and press Reports and choose Sales Accruals for Project.
  6. In the report you notice a deferred CoGs amount.
  7. Add the Associated Sales Order and item attribute. You notice that the amount is not assigned, appearing as #.
  8. Use further attributes and filters, such as G/L account (origin), Project task, Accounting Period/Year, Associated Source Document Type to identify where the amount originates from.
  9. Eventually add Associated Source Document ID and filter for the document/s for which an unassigned amount appears.
  10. Add Journal Entry type. 
  11. You notice that there is an expense assignment business transaction but also the expense assignment reversal reported even though the expense is assigned to a sales order item in Project Management.   



The expense document has been marked as Quantity/ Expense to Be Deferred*:

  1. Go to the Edit Time and Expenses Screen.
  2. Select the respective expense document in the Time and Expense Items table. 
  3. Underneath, in the Details section go to the Quantity and Expense Details tab. 
  4. Here you see that the total quantity of this item appears as Quantity/ Expense to be deferred, not as Quantity to be invoiced or written off. 

When an assigned expense document is marked as to be Deferred its expense assignment is reversed, so it appears as unassigned, deferred amount on the Deferred CoGs account.


  • If the expense is to be realised on the expense account as well as the revenue account, enter the quantity/amount  as Quantity/Expense to Be Invoiced. 
  • If the expense is to be only realised on the expense account, but not invoiced to the customer, enter the quantity/amount as Quantity/Expense to Be Written Off. 

In both cases another expense assignment version is generated to assign the document in accounting. 
The expense is realised immediately on the expense account, if no accrual method is assigned to the sales order item. Or, if an accrual method is used, the next revenue recognition run will realise the expense.


Revenue Recognition, Sales Accruals Report, assigned expense deferred , KBA , SRD-FIN-COR , Cost & Revenue , Problem


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