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

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Moving average price in case of semifinished product.

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Hi
There will not any big problem if your client insists upon MAP for the material instead of your suggestio for having S as per std. SAP suggestions. There will not be any change in material price during confirmation if you have V indicator but if you have S as indicator there will be change in price due to costing and settlement. It is not that system will not do anything for the materials having V indicator, check the field value for Standard price , it gets updated. Your costing calculation completely depends uopn the settings that has been customised in OPN2 i.e the settings available for valuation. You cancompletely control all these.
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Free goods determination with Free of charge delivery

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After maintaining the Free goods Determination Record for a material using VBN1, when I create the order with order type OR, the free goods gets determined, where as when I create the order with order type FD, the free goods does not get determined. Can somebody let me know the reason for this happening and the solution please
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Hi
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We are having problems similar to what are described in the SAP Note 209864.
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Dear,
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Moving average price in Semifinished material.

Dear All,
Our client wants to go for moving average price in case of semifinished material, which is supposed to be normally standard price. The problem is the MAP is not getting updated after the GR against the production order. What settings I need to check in cusomization from PP point of view to solve this problem. Ideally the summation of cost of raw materials has to be the cost of semifinished material.
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Ur valuable inputs are awaited at the earliest. It's urgent.

Kindly go thoroug following it will solve your issue
Genrally SAP suggest Std price for semi & fin
but some company are useing MAP so i think the client want MAP then also it will not create any problem but this is laways FICO decision
now MAP is not getting updated
while goods movement system update G/L AC automatically the price used for updating the GL is either std or MAP depending on which is maintain in material master
your MAP will get updated only after settlement of Production order If your production is make to order in that case costing is against Sales order & no issue of settlemnt of Production order so MAP will not be updated in MTO
which price you should maintan in material master & target cost & variance
initally u upload master data with price 1 After that u take costestimate run & realse the price that will be std price Now you can see the varinace along
after realsing the cost estimate you can chane MAP in mr21/22
You can maintain both the prices in material master but while GL AC updating system check the price control & then pick price
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<removed by moderator>
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Edited by: Siegfried Szameitat on Jan 19, 2009 12:12 PM

Hi,
The stock overview report in 0IC_C03 gives stock values based on Purchase value where as i need to calculate the stock value based on Moving average price, (so that it tallies with R/3 std report MB52)
--> Need to enhance 0IC_C03 for moving average price and need to multiple Quantity with price to get value. You can do this at extraction level(Transformation / update rules) or Query level.
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Is it possible to customise SAP so that the amount in Goods Receipt transactions is calculated based on quantity * PO price instead of quantity * moving average price?
Thanks.

Thanks for your reply.
Standard SAP functionality:
1. When material ledger is active, the GR amount is based on pre-GR moving average price.
2. When material ledger is not active, the GR amount is based on PO price.
We use the material ledger but want the GR transactions to record the amount based on PO price.
Any suggestions?

Goods Receipt at Moving Average price instead of PO price

We are finding a scenario where in goods receipt is getting booked at Moving average price instead of PO price.
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Som

Here are responses against your queries
1. does your PO have an account assignment? - No. This is a Material PO
2. Was the invoice posed in advance to the goods receipt? - No. In fact invoices are still to be posted. However, there is an advance payment to the vendor. Not sure if this has anything to do?
Pl. help

Moving average price updation when goods receipt posted

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Please let me know in which tables the moving average prices changes get updated when goods receipt is posted. Also let us know the process as to how moving average price gets updated in the accounting1 view in material master.

Hi,
Its updating in the table MBEW.
To see the log of moving averae price updation, use report S_P00_07000139.
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GR : 10No's@12Rs
Now MAP will become 11Rs (220/20)
Regards,
Prabu

Materials with moving average price that have goods receipt without PO

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Hi there,
so there is never a "regular" GR or invoice? And the material will be put back to stock using movement Type 262, for example?
There is a way... Consider to activate the "External GA Amount" for the relevant movement type(s). You can do this by customizing the movement type's field selection, category "Materials management". Set this field to "optional". After this you can enter a value in the detail dynpro of the movement. Watch out, it is the value for the posted quantity, not a price... The valution price will be recalculated, the moving everage price will change, but there is no revaluation.
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Kind regards from Germany,
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PO with FREE of charge position - goods receipt change the average price

Hi Experts,
in our SAP system we have a special situation concerning the PO with free of charge (FOC) items.
We set the flag "Free" in the PO position for all FOC items. When we book the good receipt for these FOC items SAP creates no accounting document and the average price is changing.
for example: 1 pce is on stock with the value 100; we receive 1 pce for FOC
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I read a lot of OSS notes and many entries in the forums and I think many other companies have the same problem.
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it is logical that the moving average price changes. if you dont want that, then you either have to have an extra material master for your free of charge stock, or you need to implement split valuation and can then have batches that are not valuated.
But if you have 10 on hand with a value of 20 $, then the moving average is 2$
if you then get another 10 free of charge, then you have 20 on hand with total value of 20$, which just means 20$ div by 20 quantity = 1 $ MAP.
if SAP would not change the MAP in that moment, then the goods receipt is valuated with the current MAP and the total value of your stock increases to 40. but this is then not a free of charge case.

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

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