Elimination of Intercomp Inventory (Assets)Profit due to markup sales price

Hi all
I have a question regarding elimination of inventory profit when a company sells inventory at a profit to another company within the same parent.
The scenario is company A produces 100 quantities of Product X for $100 ($1 per Product X - Cost of Sales) and sells it to Company B for $200 with mark up price ($2 per Product X u2013 Sales). Now Company A has sales of $200 while Company B has COS of $200 which will be easily eliminated by intercompany elimination. But now Company B has $200 worth of Inventory when it should be actually only $100 thus inflating the assets. Is there a business rule to eliminate inventory/asset of this kind?
Also now if Company B sells 80 quantities of Product X, 50 of which are from the ones supplied by Company A, how do we evaluate inventory and eliminate the Inventory profit because of stock transfer. How do we track all these stock movements?
Please let me know.
Thanks,
Ameya Kulkarni

Answer in another thread

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Dear Gurus,
We are using the New GL, so EC-PCA is not activated.
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Dear Gurus,
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Please help in getting answer for following question.
How to make a field profit center mandatory in sales order?
With Regards
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Hi,
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Hi bindu,
if u want to hide profit margin in sales order ,is it captured thru some condition type? if yes then use alternative condition base formula in pricing procedure with either 27 or 56 .if business logic doesnot suit with this std routine then u can write ur own routine in VOFM transaction with abapper's help.
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hi
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Summary
Symptom
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Dear Gurus
I have a requirement where profit center should be derived in sales order on the combination of customer country and plant.
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Hi,
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Here you go
Transaction cannot be posted due to errors in price determination
Message no. ME573
Diagnosis
The error marked with 'X' occurred during the price determination process for purchasing document 201 00010:
[ ] Net price is 0.
[ ] Net price is negative.
and/or there are no valid conditions or the duration of the
contract has ended.
[ ] Effective value is negative.
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[ ] Delivery costs have been recorded although invoice
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[ ] Error during quantity conversion
[ ] Error during currency translation
[ ] Field overflow
[ ] A condition involving delivery costs exists without a
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[ ]Error during maint. of delivery costs in master conditions
Delivery cost conditions in different validity periodsnot identical
System Response
The transaction cannot be posted without successful price determination.
Procedure
Check the purchasing document and the associated conditions:
Display purchase order
Display scheduling agreement
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Elimination of Intercomp Inventory (Assets)Profit due to markup sales price

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