UPA and Transfer Price

How does UPA interact with transfer price and impact on COGM and COGS ChatGPT said: Excellent follow-up 👍 — this goes right to the heart of Universal Parallel Accounting (UPA): how it interacts with Transfer Pricing (TP) and how that impacts COGM (Cost of Goods Manufactured) and COGS (Cost of Goods Sold). 🔑 1. Transfer … Continue reading UPA and Transfer Price

How UPA impacts Product-Costing, Group Valuation, Transfer Price?

🔑 1. What is Universal Parallel Accounting (UPA)? UPA harmonizes valuation approaches (legal, group, profit-center) in one Universal Journal (ACDOCA). No separate ledgers (like old profit center ledger 8A) → all valuations live in ACDOCA with different valuation views. Parallel valuations are handled consistently across FI, CO, ML, and Asset Accounting. More Details here : … Continue reading How UPA impacts Product-Costing, Group Valuation, Transfer Price?

Cost-Plus (Manufacturing), Sales-Minus (Commercial) Transfer Pricing Set-up in ECC Vs S/4HANA UPA

Part-1 : What is Universal Parallel Accounting (UPA) Part-2 : ECC (Parallel Valuation) Vs S/4HANA Parallel Valuation with UPA Part-3 : ECC Configuration Part-4 In this Blog, we have a look at a step-by-step IMG configuration flow, which will make it much easier to see where Cost-Plus (Manufacturing) and Sales-Minus (Commercial) Transfer Pricing are set … Continue reading Cost-Plus (Manufacturing), Sales-Minus (Commercial) Transfer Pricing Set-up in ECC Vs S/4HANA UPA

ECC Transfer Pricing Vs S/4HANA UPA Comparison

Part-1 on SAP S/4HANA Universal Parallel Accounting (UPA) In this blog, we look at side-by-side comparison table, with emphasis on how cost-plus (manufacturing markup) and sales-minus (commercial margin) scenarios are configured AreaECC Transfer Pricing (Classical ERP)S/4HANA UPA (2022+)Data ModelSeparate ledgers/tables: • Legal view in FI/CO • Group valuation in Material Ledger (ML) • Profit Center … Continue reading ECC Transfer Pricing Vs S/4HANA UPA Comparison

SAP configuration in Classical ECC Transfer pricing

Let’s go step by step. In Classical ECC (ERP 6.0, before UPA in S/4HANA), Transfer Pricing (parallel valuation) was already available, but the setup was complex and restricted. We essentially had to configure parallel valuations in CO and activate the Material Ledger (ML) to get it fully working. 🔑 1. Core Concept in ECC In … Continue reading SAP configuration in Classical ECC Transfer pricing

Universal Parallel Accounting (UPA)

What is Universal Parallel Accounting Universal Parallel Accounting available for On-Premise and Private Cloud since SAP S/4HANA release 2022 Universal Parallel accounting or UPA is a new finance architecture for handling multiple accounting valuations and currencies in parallel. Not only does UPA introduce various functionalities on its own, but it also serves as the foundation for many … Continue reading Universal Parallel Accounting (UPA)