3409467 - Error KK689 happens with variance calculation

When you perform variance calculation, you get error:
Item 00001 : Cost element 00000001 does not exist in CO area A000 for 01/01/2023
Message no. KK689

SAP S/4HANA Cloud

You can check the standard cost estimate for the output material of the order. If Special Procurement (Subcontracting) is used, the account is determined via transaction FRL or GBB/VBO.
You can find the same account in the message which is also used in the cost estimate.
The account determined in standard cost estimate is not defined as cost element. So the error KK689 was raised.

- Change the account to cost element with the G/L account master app or
- If it's not possible to change the account to cost element, you can first change the account determination in SSCUI 100297 for FRL or GBB/VBO to a cost element. Then delete the existing released cost estimate, create and release a new cost estimate

KK 689, variance calculation, cost element, valid, 100297. , KBA , CO-PC-OBJ-2CL , Cost Object Controlling (Public Cloud) , CO-PC-PCP-2CL , Product Cost Planning (Public Cloud) , Problem