Activity type issue

Hi Experts
We have maintained new P exchange rates ( USD >> AUD)yesetday with validity form October 2009. During the costing run today we've  noticed that the activity types are not consideriing the latest rate for calculation (completed KP26 with period 1 to 12 for 2009).
Please advice me why this is happening? Are we missing anything here.
Thanks in advance.

Hi PK,
The title of your issue is rather confusing with what you did with your system because when you do Costing run or product costing, the system do the calculation of your product/products based on Costing variant assigned to the product in which plant the product is calculated.
You have to be aware of the function of Costing variant. The costing variant contain all the rule and parameter of how the system get the prices of your materials in the BOM and how the price of activity types are calculated in the Routing. For the point of activity type you need to check what strategies are determined in the valuation variant which is assigned in the Costing run. Please check by following menu path at IMG/Spro:
Controlling> Product Cost Controlling>Product Cost Planning> Material Cost Estimate with Quantity Structure>Define Costing Variants.
Once you get costing variant which is used in the Costing run/Product costing, then check the valuation variant assigned. Go to detail of valuation variant. The valuation variant determine of how the system get the prices as mentioned above.
Let's get back to your issue and what you did in the system. Changing the P exhange rate has nothing to do your costing run directly, especially for activity type. The price of activity type is defined by the "planning activity output price (t-code KP26) and based on strategy defined at "Activity types/Processes" tab in the valuation variant. Is it using "Plan price as average of all fiscal year period" or any other strategy priority defined for the activity types. I don't think you do planning the cost of cost center using foreign currency.
The only possibility of how your exchange rate change would  affect your cost calculation if your materials are procured in foreign currency and if material valuation strategy in the valuation variant use the first priority "L" Price from purchasing info record". If the price defined in the "Material Val" tab are others than mentioned above, your change in E/R would not affect your costing run/Product costing.
Hope this help your understanding of how costing variant and valuation run better.
Best regards,
Irhasni

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