Incorrect moving average

I fond that moving average of the material is incorrect, then i would to like make adjustment, is it use mm02 to update the moving price. But the problem is the material has inventory. If next time do goods receipts, whether the moving price still incorrect, because the moving price is calculated by total value / total stock. If just update the moving price, the total value will auto ajust or not. Thanks!

hi
u know the stock suppose it is 1000 (mm 03 accting view)
now the map now is 300 (per unit), so the total value is 300000 inr
now if u want to change it to 200 per unit then
go to MR21
here in new price column give 200 and new price units as 1 then and save
now the MAP = 200
stock is 1000
total value will be 200000 inr
just check it on dev server
regards
kunal

Similar Messages

Moving average price as price control in material master: Erroneous entries

Dear All,
Recently we did a price control change from standard price to moving average price for one of our clients and scenario testing was done. We came across the following issue at the IR point and this error occur time to time ( not for all POs )Following steps were followed
Scenario
1. Create a PO for 1000 Kg of material A @ 1USD
2.GR the purchase order- at this point correct values are passed to stock account
3.consumed 250 Kg from the above material and from the same batch- correct values are passed to the accounts correctly
4.invoice verification is done for the above PO with a price variance of 100 USD. The error occur at this time ( some times )
Correct entry:
Dr GR/IR account 1000
Dr Stock account 75 (Price variance is charged proportionately charge to the balance stock)
Dr price variance 25 (Price variance is charged proportionately on the consumed stock)
Cr Vendor 1100
But sometimes the value does not pass accurately for the same PO. Accounting entries are as follows.
( this is same scenario with new purchase order with different master records )
Dr GR/IR account 1000
Dr Stock account 100 (Total price variance is charged to the stock account and its incorrect this should be only 75 as explain above )
Cr Vendor 1100
This error occurs sometimes even though the vendor master record and purchase orders are sand same as the time of pass correct entries . All these time GR based invoice verification tick has activated in PO as well as vendor master .
Appreciate your advice.
Tks
Sandagomi
Edited by: Sandagomi Ranasinghe on May 9, 2010 9:25 AM

Thank you for the information. But this is not the system behavior , system proportionately add the price variance to the stock qty which is remaining in the stock also it proportionately charge the price variance to the price variance account which is consumed before the invoice verification.But time to time it passes the incorrect entries.
eg , Create a PO for 100KG @ 1USD
       GR                     100KG
       Consumed           25
      IR , here we IR at higher value than the PO price
     PO value is USD 100
    IR    value    USD 100 + 12 = 112
Correct IR entry : Vendor              CR    112
                             GR/IR                 Dr    100
                             Stock                 DR      8 ( 75% of the stk is reaming in stk so relevant variance is USD 8 )
                             Price variance   DR      4 ( 25% of the consumed , so relevant variance is USD 4 )
And this is accurate with accounting principles and standards .
Actually system correctly calculate the above entries . but some times it pass the incorrect entry , this is my issue.
In the erroneous entry it does not segregate the price variance , If we consider the same scenario as above at the time of erroneous entry the system pass entries as below:
                            Vendor              CR    112
                             GR/IR                 Dr    100
                             Stock                 DR     12 ( add 100% which is incorrect )
This is incorrect .

Moving average price in material master

Dear All,
M client is in manufacturing process(variant configuration) having make to order scenario (Non-Valuated).
We are having steel and ring business, For Steel business we are producing in house/subcontracting and For Ring we are sending Raw material/Semi-finished goods to Sub-contractor for which he is charging processing charges. Raw material/SFG(semi-finished goods) provided to subcontractor is SFG for steel business.
We are doing movement type 912 E for sending goods for subcontracting (sales order is attached) and while doing G/R through MIGO processing charges are debited and credit goes to gr/ir account,Upto this point I am ok with costing as visible from sales order analysis(KKAC).
Now In our scenario if out of 6000 rings (as defined in sales order)customer is rejecting 1000 rings we have to detach that sales order through movement type 411 E and bring to our own stock or by movement type 412 E attach to another sales order .Also We are using 413 E movement type for transferring unsold goods to another sales order.
In 411 E and 412 E movement types system takes moving average price (maintained originally ) and by using movement type 413 E no value is transferred only quantity is transferred (because of non-valuated scenario).
Now if system picks original price maintained say at re.1 my costing for detached and attached sales order are incorrect .
Example
Material master(A) accounting view
Map     1
Stock     100               total value     100
Sales order 1(10 tonnes)A (finished product)
Cost     1000
Revenue     800(5 tonnes)
sales order 2
cost b/f          5
Revenue        800(5 tonnes)
Now if 5 tonnes are detached from sales order it picks price from
Master i.e Re.1 so Rs.5 is taken to own stock through mtype 411 E
Or it takes Rs.5 to another sales order 2 as cost of 5 tonnes .
Now my sales order 1 will show loss of Rs.195(995-800) and sales order2 shows profit of Rs.795.
I want to know whether system is behaving correctly or some customization is to be done.
Thanks and Regards
Vijay
Edited by: VIJAY MATLANI on Oct 13, 2008 5:28 AM
Edited by: VIJAY MATLANI on Oct 13, 2008 5:30 AM

Hey
Check have you made any purchasing documents, with reference to material.
And anybody played MR21 for the particular material?
Thanks
Raman

Change costing method from Moving Average to Standard costing

Hi Expert
I need to find out the prerequisites for changing the valuation method of an item from Moving average to Standard costing.
(In the forums i found a note which discusses the change of costing method from FIFO to Moving average.)
It would be greatly appreciated if i can get a reply ASAP
Thank you
Regards
Apsara

Hi Son
Let me rephrase my previous question as i have asked it incorrectly.
Step 1. Make all quantities of the stock zero and also close all Open PO, SO etc
Step 2. change the inventory valuation method
Step 3. Enter new stock prices for the standard cost through stock revaluation. My question is can this be (step 3) done through DTW
Thank you
Kind Regards
Apsara

Change valuation method from moving average to FIFO

We have incorrectly given valuation method for our raw materials to moving average instead of FIFO. Now, we have a lot of transactions and cannot change the method after a transaction is done for any item. I want to know if this solution will work:
1. create new database with item and business master data, chart of accounts, item groups as before
2. change valuation method of all items
3. Import GRPO, Excise and A/P invoices from old database
Does step 3 create its own JEs?? If it does, then my problem will be solved.

Hi Krishna,
this is the SAP Business One Forum in German. Please post your threads in English to the forum here:
SAP Business One Application
All the best,
kerstin

Import material moving average price is showing negitive.

Dear GURUS
I have aproblem in Import material moving average price problem
My user put the amount 10000 EUROS instead of 10000 INR in P.O ,
I am getting the below mentioned error.
Moving average price for material is negative: 2428014263 1100 SPR_IMP
Message no. M8783
Diagnosis
     This item would create a stock value posting which would result in a
     negative moving average price for the material.
     Note:
     The category of this message can be changed in Customizing for Invoice
     Verification. This means that you can receive a message as an error
     message even though it is defined as a warning message in the standard
     system.
     The following documentation deals with the case applicable to the
     standard system only.
System Response
The system does not allow a negative moving average price.
cedure
Check your entry in the field "Amount" and correct it if necessary.
If your entry is correct, check the following for the material
o   the stock value
     (Environment -> Master data info -> Display material)
o   the posting history
     (Environment -> Line items -> For material).
It might be necessary to cancel past postings (for example, incorrectly
valuated goods receipts or incorrect price changes), before you can
carry out your posting.
If you wish to carry out a price change, the total stock of the material
may be negative. A price cannot be changed if the stock is negative.
Regards
srinivas

Dear,
Please refer the below SAP notes
SAP Note 356757-MR01, MR1M, MIRO: M8783 when posting invoices
SAP Note 753286 - Moving average price becomes very small
Regards,
Gopala.S

Moving average issue

I found the moving average of material display on mm03 is wrong, I've found that the material ever changed the cost through mr21 on 10/2008, this is correct. But current period is incorrect 02/2009. And after 10.2008, there have two goods receipts, but the price is OK, the moving average should be no problem, but why the moving average is incorrect. Thanks!

And I found there have a "RE" type of document in MR51. the posting date is 31.12.2008. the amount exactly same as the total value in MM03. What's wrong. Thanks!

SAP Note 209864 - Moving average price is disproportionately large

Dear All,
We are having problems similar to what are described in the SAP Note 209864.
We run the example as decribed in the note on our development server and got the same results. Then, we run the tractsaction OMC0 to set the tolerance upper and lower limits to 10% for the moving average variance and run the example again but still got the same result. We do not know why.
In our production environment, some purchased materials may be returned to our warehouse from produciton after their stock quantities reach zero (and therefore their total stock values as well). If in the time between the material reaches zero stock value and any left over materials are returned to the warehouse, there are good receipts from our suppliers for those materials and the prices are much different from the original moving average prices (e.g. replacement parts that are free of charge). The value of the subsequent materials returned from the production to the warehouse will be valuated incorrectly.
We would like to control the vairance to a pre-defined percentage, e.g. 10-20%.
Please help.
Best regards,
Nelson

Dear,
Please refer the below SAP notes
SAP Note 356757-MR01, MR1M, MIRO: M8783 when posting invoices
SAP Note 753286 - Moving average price becomes very small
Regards,
Gopala.S

MIGO - cancel material document - moving average price

Hello,
When using MIGO to cancel a 101 movement, referring to the original material document, the correction on quantities is correct but the correction on value is incorrect.
Material is valuated with moving average price, and the price of the material has evolved in the meantime, which could explain the problem.
Thanks in advance for your suggestions.
Regards,
Sergei

Hello Jürgen,
Thank you for your quick reply. I read the note -- it describes the symptom perfectly, and gives example cases which match our situation. However, no solution or recommendation is given. Does it mean that this way of valuating cancellations is not seen as a malfunction, and cannot be changed?
Thanks in advance.
Regards,
Sergei

SSRS 2008 Column Chart with Calculated Series (moving average) "formula error - there are not enough data points for the period" error

I have a simple column chart grouping on 1 value on the category axis. For simplicity's sake, we are plotting $ amounts grouping by Month on the category axis. I right click on the data series and choose "Add calculated series...". I choose moving average. I want to move the average over at least 2 periods.
When I run the report, I get the error "Formula error - there are not enough data points for the period". The way the report is, I never have a guaranteed number of categories (there could be one or there could be 5). When there is 2 or more, the chart renders fine, however, when there is only 1 value, instead of suppressing the moving average line, I get that error and the chart shows nothing.
I don't think this is entirely acceptable for our end users. At a minimum, I would think the moving average line would be suppressed instead of hiding the entire chart. Does anyone know of any workarounds or do I have to enter another ms. connect bug/design consideration.
Thank you,
Dan

I was having the same error while trying to plot a moving average across 7 days. The work around I found was rather simple.
If you right click your report in the solution explorer and select "View Code" it will give you the underlying XML of the report. Find the entry for the value of your calculated series and enter a formula to dynamically create your periods.
<ChartFormulaParameter Name="Period">
<Value>=IIf(Count(Fields!Calls.Value) >= 7 ,7, (Count(Fields!Calls.Value)))</Value>
</ChartFormulaParameter>
What I'm doing here is getting the row count of records returned in the chart. If the returned rows are greater than or equal to 7 (The amount of days I want the average) it will set the points to 7. If not, it will set the number to the amount of returned rows. So far this has worked great. I'm probably going to add more code to handle no records returned although in my case that shouldn't happen but, you never know.
A side note:
If you open the calculated series properties in the designer, you will notice the number of periods is set to "0". If you change this it will overwrite your custom formula in the XML.

Moving average price in case of goods receipt with free of charge

Hello everyone,
Need some inputs......
Sometimes we receive materials from suppliers free of charge (e.g. warranty replacement) u2013 moving average goes down u2013 worst case 0,01 EUR/piece. This causes problems in government reporting and export documentation EX1 and clearance/pro-forma invoice) for deliveries to field engineers (Order type ZIS1, ZIS3 u2013 item cat. ZICA), because moving average price is used for the values in government reporting and on the invoices. In government reporting and on invoices we need to state a true value of the part.On the other hand, the value warehouse stock is depending on the moving average cost as well.Could you please let me know, how to handle such receipts from the supplier to have a correct stock value and correct values on invoices and government reporting?
Thanks
Deepthi...

Hello Deepthi,
It depends on your company policy. If you want to valuate the material along with the material purchased handled in moving average price, free consignment will bring down the MAP for the material.
In that case, you can revaluate the material to the original price in MR21 transaction.
If you are not going to handle the materials received free of charge along with the purchased material, you can go with another material code, with non valuated material type.
But i guess, no company will be asking for another material code. So go for revaluation after the receipt of free consignment.
Regards

Exponential Moving Average - EMA - in PowerPivot

Hello All
We´re having a challenge trying to put the [20] (trading days) Exponential Moving Average (EMA) in our data model in PowerPivot.
Here is the EMA formula and sample spreadsheet:
http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:moving_averages
Pasted the formula here for convenience:
SMA (simple moving average): [10] period sum / [10]
Multiplier: 2 / ([Time period] + 1) )
EMA: {Close - EMA(previous day)} x multiplier + EMA(previous day).
Sample spreadsheet
http://stockcharts.com/school/data/media/chart_school/technical_indicators_and_overlays/moving_averages/cs-movavg.xls
In our model the fact table have these columns:
Symbol Date Open High Low Close Volume
And in the Calendar table we´ve identified the trading days (Calendar[TradingDayNumber]) as 1 so we can count them back.
We want the EMA calculated field in a pivot table like this
Filter context: a date selected on Calendar[FullDate]
Row context: FactTable[Symbol]
Values: FactTable[Close]
FactTable[EMA 20D] >> Missing
So far we got these calculated fields:
Period
=20
Ema Multiplier
=2 / ([Period] + 1)
Average 20D CLOSE
=IF([Sum of CLOSE]=BLANK(),BLANK(),(CALCULATE(AVERAGE(FactTable[CLOSE]),FILTER(ALL(Calendar),Calendar[TradingDayNumber]<=MAX(Calendar[TradingDayNumber]) && Calendar[TradingDayNumber]>MAX(Calendar[TradingDayNumber])-[Period]))))
But it looks like the EMA formula contains a self reference from previous values, and it also starts from a SMA (Average 20D CLOSE) value.
How can we do it?
Thanks in advance. I highly appreciate your support.

Nico,
Is this still an issue?
Thanks!
Ed Price, Azure & Power BI Customer Program Manager (Blog,
Small Basic,
Wiki Ninjas,
Wiki)
Answer an interesting question?
Create a wiki article about it!

Moving Average Price for Sales stock and Project stock of a material

Hiya Gurus,
                 I am developing a report to display inventory details. My requirement is that I have to display the Moving average price of a material for all Valuation type. I also need to display the Moving average price if a material has got Project stock or Sales stock.
                 In MBEW table I can get the Valuation type and its Moving average price, but how can I find the moving average price for the same material if it has got Sales stock and project stock. Please let me know the table and field where I could get the relevant data.
                Kindly help me on this, it would be deeply appreciated.
Cheers,
ZIa

Hi
can you look at tables
EBEW                             Sales Order Stock Valuation
QBEW                             Project Stock Valuation
Nat

SSRS 2008 R2 - Add moving average to column group

I have a column group of dollar amounts. The row is a year/month. I would like to add a moving average column to the right of the last 6 months. My SQL Server data source is already complex enough and I'd really prefer not to add a column
there. Is there anything I can do within the report itself? Some way to reference the previous records in a matrix?
Thank you!

Hi mateoc15,
According to your description, you have a matrix in your report. Now you want to calculate the average value of last 6 month. Right?
In Reporting Service, we can put custom code into report to deal with complicated logic. Add one more column/row inside of group and call the functions defined in custom code. For your requirement we modified Robert’s code to achieve your goal. We tested
your case in our local environment with sample data. Here are steps and screenshots for your reference:
Put the custom code into report:
Private queueLength As Integer = 6
Private queueSum As Double = 0
Private queueFull As Boolean = False
Private idChange As String=""
Dim queue As New System.Collections.Generic.Queue(Of Integer)
Public Function CumulativeQueue(ByVal currentValue As Integer,id As String) As Object
Dim removedValue As Double = 0
If idChange <> id then
        ClearQueue()
                idChange = id
                queueSum = 0
                queueFull = False
                CumulativeQueue(currentValue,id)
Else
                If queue.Count >= queueLength Then
                                removedValue = queue.Dequeue()
                End If
                queueSum += currentValue
                queueSum -= removedValue
                queue.Enqueue(currentValue)
                If queue.Count < queueLength Then
                Return Nothing
                ElseIf queue.Count = queueLength And queueFull = False Then
                queueFull = True
                Return queueSum / queueLength
                Else
                Return (queueSum) / queueLength
                End If
End If
End Function
public function ClearQueue()
Dim i as Integer
Dim n as Integer = Queue.Count-1
for i=n To 0 Step-1
                queue.Dequeue()
next i
End function
Add one more row inside of group, call the function defined in custom code.
Save and preview. It looks like below:
Reference:
Moving or rolling average, how to?
If you have any question, please feel free to ask.
Best Regards,
Simon Hou (Pactera)

Moving average price

Hai all MM gurus,
While invoice posting, system is showing the error message " Moving average price is negative for the material ".
How to post the invoice .

Hi,
In the material master the moving average price is negative.
Please use MR21 and change price so that the MAP will be
postitive then you can verify the invoice
G.Ganesh Kumar

Incorrect moving average

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