Raw material Moving Avg. Price (MAP) should include overhead cost.
We receive a raw material that has unit price of USD 10, the material is used in BOM. We incur some additional cost on that material and want to include that additional cost as a part of raw material cost. Say additional cost is USD 1 per unit. We want the system to include USD 1 in material MAP making is USD 11 per unit (i.e. 10 + 1).
Please help how can we achieve this.
regards
Chris
Hi
Your scenario would be better represented by Price Control S and using BOM/Routing/Prod order in PP... I dont know why your PP guys should be against it.... You should do it if you wanna capture the Loss of 13 kg in the system
Anotjer option is to create a condition type and assign an accrual key to the cond type so that the Offset for this cond type does not post to GR/IR account.. Else, your vendor would get paid extra
Refer this thread for more details
Raw Material costing and update to inventory valuation
PS: Note that raw mat cost estimate woyuld makes sense when you have S and not V
br, Ajay M
Similar Messages
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Material Master Change Pointer IDOCs not generated for Moving Avg Price GR
No IDOC is created or distributed when the moving average price
changes. Each time a Goods Receipt is performed, the material master
moving average price (MBEW-VERPR) changes but the change is not
distributed. No change pointer is created in the tables. Why?
We need to send the moving average price each time it changes. In our
case, each time a Inbound Delivery has been Post Goods Receipt this
value changes for that material + plant combination and the value
should be sent.
The field MBEW-VERPR is included in BD52 as a field relevant for change
pointers for the message type.
Please advise.Hello,
SAP will not generate change pointers (and no IDOCs) for Moving Average Price (MAP) changes. This is because MAP updates are not really Master Data changes and they are driven by transactions such as Goods Receipts, Revaluations etc. For these transactions, SAP will generate respective accouting documents for traceability.
Thanks,
Venu -
Std price and moving avg price
hii frends...in which scenario we hve to go for std price and moving avg price...
thnx in adv...Generally all raw materials (ROH), spare parts (ERSA), traded goods (HAWA) etc. are assigned as moving average price (MAP) because of the accounting practice of accurately valuating the inventory of such materials. These materials are subject to the purchase price fluctuations on a regular basis.
Company generally uses moving average on purchased materials with small cost fluctuations. It is most appropriate when the item is easily obtainable. The impact on margins are minimized which reduces the need for variance analysis. Furthermore, the administrative effort is low as there are no cost estimates to maintain. The cost reflects variances, which are closer to actual costs.
The semi-finished goods (HALB) and finished products (FERT) are valuated with standard price because of the product costing angle. If these were to be MAP controlled, then finished/semi-finished product valuation would fluctuate due to data entry errors during back flushing of material and labor, production inefficiencies (higher cost) or efficiencies (lower cost). This is not a standard accounting and costing practice.
Hope this will help you.
Cheers,
Parag Mahajan -
Why negative stock is possible for Moving avg price & not standard price?
why negative stock is possible for Moving avg price & not standard price?
Hi,
Negative stock is available for both MAP as well as Std. price.
Eg.
MAP-->
1. Mtl with MAP 1 Rs/pc & stock of 10qty.
2. GI done for 15 pcs. Each pcs evaluated with 1Rs (MAP). Stock value reduce by 15Rs. Offsetting entry takes place in consumption account of 15Rs. The stock and stock value is -5 each.
3. Post GR of 10pcs with PO price 3Rs/pc.
Now GR/IR should credited with 30Rs.
Negative stock (which issued) with 1Rs. But incoming mtl. is of 3Rs/pc. So difference of 2Rs for Qty 5 (Neg. stk) of 10Rs. will posted to Price Difference account. And remaining 20Rs posted to stock account.
Std. price.--> step 1,2 remain same
3. Post GR of 10pcs with PO price 3Rs/pc.
Now GR/IR should credited with 30Rs.
Durin GR Stock account posting will be 10Rs but due to negative stk value the net stock value will be 5 Rs. Remaining 20Rs posted to price difference acct.
Regards,
Sandeep -
Hi,
I am trying to post invoice for a material and PO but i am getting error message Moving avg price for the material is negative.
Please let me know your views on this.
Helpfull answers will be rewarded.
thanks
SureshHi,
It doesn't mean that if you post higher value of difference then it will post MAP as -ve.
You might be posting higher value than the actual MAP of the material so it affects the MAP and if Difference amount is more than MAP value then this problem occurs.
And it also generates an additional accounting document of "PR" Document Type i.e. Price Change. But in your case, it will not allow to post you the MIRO Document.
If possible, better reverse the GR and change the PO value as per requirement and then do fresh GR and then MIRO.
Otherwise Try and change the material stock value in MR22 - Debit/Credit material stock value. It will not work by changing price in MR21. -
How to get Moving Average Price ( MAP ) & Standered Price in BW
Hi all,
I want to get the Moving Average Price ( MAP) & Standered price in BW Report.So that please suggest me
1. which Cube I have to use &
2. which datasource having that Moving Average Price ( VERPR) Field.
If having other Procedure to calculate Moving Average Price in BW .
please give me these details.
Thanks,
kiranHi Kiran,
0IC_C03 Cube can be used to bring the fields you require.
Please search forum post by Anil Kumar, link is not available thats why i am copying the text here.
You need to enhance the Standard DS of Infoobject 0MAT_PLANT and Infoobject 0MAT_PLANT to include these 2 fields.
And you need to enahance the 0IC_C03 cube to include 0MAT_PLANT and need to complete the mapping in all 3 Update rules for this added Infoobject.
And you need to upload the attribute data of 0MAT_PLANT as full upload every day.
In the reports , you need to dependent on Formula varibles with replacement path with standard price an MAP price attributes of 0MAT_PLANT. So if you go with these formula variables with replacement path, you should take 0MAT_PLANT characterstic into rows as a prerequiste.
If you want to avoid this prerequisite, then take a look on How to calculate with attributes values.
Other wise you need to do the calculations at 0MAT_PLANT level by a base query after every upload,and the result should be stored in TODS by APD .And then you can final report with out 0MAT_PLANT in rows upon this ODS.
please see this links
Re: 2lis_03_um and MBEW- STPRS
Re: How to get Moving Average Prince and Standard Price in BW (inventory cube).
Hope this Helps.
Thanks
CK -
Change in Moving Avg.Price after GI
Hi All,
We need your advise to find the root cause of sudden change in the Moving Avg.Price from US $100 to US $10,000 during GI (202 MvT - GI to Costcenter)
Further we observed that within 15 days the MAP has came down to US $132.
Could you please let us know the possible causes of this...
Regards,
KiranHello,
Please use MB51 to analyse all the movements of the material. Also, look at PO history of the Materials for any possible GR/IR maintenance and Invoices for any possibles price adjustments. Other possible reasons are fractional stock quantities, reversal of a transaction that took place in the past and rounding off issues.
Thanks,
Venu -
Looking for fm "moving avg price"
i'm looking for fm that i give her date and matnr and i get the moving avg price
Hi,
Check the include program RM07MLBD_FORM_01 which is part of the program of Tcode MB5B.
Table MBEW stores the current avg price for a material which means if i select the price from MBEW for a material is nothing but the avg price at the moment.
Form bestaende_berechnen does the average price calculation & the quantity.
This is basically the program for MB5B std report for stock valuation.
I had used this directly once to get the latest price of a material.
Hope this helps.
Reward if useful.
Thanks
SMS -
Hi Experts,
What is the difference if price control of finished products in Standard or moving avg price ?
1. I know moving avg price is always change able but Standard price is also changeable if standard price is changable when it change ?
2. If price control is S for finished products then product costing is happened or what !!!
3. Price and qty of FG if it is moving avg price when changed (When GR is happened or when settlement is happened) ?
4. In finished products if price control S , when we run costing run (CK40N) i think price is changed,before it we settlement production order at that time price is also changed
Kindly clarify
Thanks & Regards,
Debashis
Moderator: Please, respect the rules; ask one question per thread and try not to ask 'quiz' questionsHi,
Pl see the answers as below:
What is the difference if price control of finished products in Standard or moving avg price ?
1. I know moving avg price is always change able but Standard price is also changeable if standard price is changable when it change ?
*Ans:You are right on moving avg price that new avg price is calculated after every goods receipt, invoice receipt and order settlement. But in case of price determination "S", all the material movements got updated with standard price only. If Material Ledger is in Active, you can't change the standard price of the Material once you have the movements posted or the status of the Material in CKM3N shows " Quantities and Values Entered"*
2. If price control is S for finished products then product costing is happened or what !!!
Ans: No. This is one of the available valuation method in SAP.
3. Price and qty of FG if it is moving avg price when changed (When GR is happened or when settlement is happened) ?
*Ans: new avg price is calculated after every goods receipt, invoice receipt and order settlement*
4. In finished products if price control S , when we run costing run (CK40N) i think price is changed,before it we settlement production order at that time price is also changed
Ans: When you run CK40N standard price will get updated against the respective material and the same is used against all the material movements.
The main difference between the two valuation procedures is that the moving average price represents a current avg price while the standard price is based on planned values.
In case of Price Control "S" differences to a price difference account and however in case of moving average price, the material stock value in Financial Accounting will get updated.
Regards,
Pandu -
Std price to Moving Avg Price & VICE VERSA
Dear,
Im MM01 - Trnx I maintained Moving Avg price , i want to convert to Std price in the given scenorios
1) Newly created MMR - P.O Created - Mtl not inwarded so far
2) Mtl already transactions done , so many times.
Also explain if its Std price to Moving avg what steps need to be done.
Regards,
Suresh.PHi
Under certain conditions, you can change the type of price control:
From standard price to moving average price :-
You can make this change at any time. The moving average price (which until now has been updated for informational purposes only) replaces the standard price and is used for valuation from now on.
From moving average price to standard price:-
You cannot make this change in the following two cases:
1. If the material master record is set up as a valuation header record for a material subject to split valuation .
2. If the standard price comes from costing and is not equal to the moving average price
If the change is possible, the moving average price becomes the standard price, which is then used for valuation.
You change the type of price control by overwriting the price control indicator in the material master record with the new indicator.
Changing the type of price control for a material does not change the value of the material stock, since in both cases the current price becomes the new price.
I hope it will solve your problem. Please revert back.
Regards
Raj....... -
Change price control indicator from standard price to moving avg price.
Hi All,
There is a material which has a negative stock for the previous period and the previous period is already closed.
When i want to change the price control indicator from S to V for that material in the current period, it shows an error that "negative stock is there, unable to change price indicator".
Kindly help me to solve this issue.
Thanks,
AKthe price control indicator can be changed from standard price to moving avg price at any time .......with some restrictions.
And one of these restriction is the one you see.
You must not have negative stock.
Hence you have to make the negative stock zero
Since your negative stock is in the previous period, you either have to allow posting into previous periods (trx MMRV , of course Finance has to allow this as well) first. Then you can post e.g. a 202 movement with previous period date which has a quantity that equals your negative quantity. then you change your price control, then you do a 201 movement (again with previous period date), finally you can restrict posting into previous periods again in MMRV.
or you just wait a few days, then with the month end closure your curent period becomes previous period and hopefully you will not have negative stocks again. then you can change the price control without any problem (I usually take care that moving average and standard price are equal befor I change the price control) -
At PGR moving avg price will be changed while pickup the goods from custome
Dear All,
I want clarification at moving avg price while retunrs from customer at consignment scenario.
scenario: goods deliverd with 633 movt type at moving avg price. while returns case with movt type 634 moving avg price was changed.
here user want moving avg price willl be requred same in return at what moving avg price taken in issue 633.
i concerned this with mm consultant , they told its not possible to take like this in returns with moving avg price
is there any possible to take mavg price like this..if possible how?
Regards,
Narendrahi
this is to inform you that,
this is not possible because master data in the system might have got changed from MVP.
so then the system picks what ever the price stated there in MMR.
hope this clears your issue
balajia -
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
srinivasDear,
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 -
Cost Run for Raw Material taking Standard Price instead of Moving Price
Hi all,
We ran a material costimate with normal components FG>SFG>RM. The RM price Control is set to
V (Moving Average Price) and for SFG & FG it is S(Std. Price). After we run CK11N, the price for
RM in Material Master changes as per Moving Price. We found that the RM Component is
costed based on Standard Price and not on the previous cost run Moving Average Price. After
certain period, if we again do cost run, the sytem is again picking up the standard price for costing
not the revised Moving Price. We have checked the Valuation Variant in the Costing Variant, where the strategy given is 1. Moving Average Price 2. Standard Price. We also tried to change the
sequence as 1. Price as per Purchase Info Record 2. Moving Average Price and 3. Standard Price and
also 1. Standard Price and 2. Moving Average Price. Our requirement is when we run the cost estimate the raw material has to pick the price of previous moving price stored in the Material Master. Kindly tell us where to set the indicator.
Thanks,
SadashivanHi Srikanth,
Problem solved. I checked the sequence in Valuation Variant and modified in Valuation Variant for Plant which I have not set previously and now the system is working correctly.
Thanks,
Sadashivan -
Error in MIRO : "moving avg price is negative"
hi ,
Could anyone suggest by wat amount material price should be increased so that Goods Issue can be posted .
Currently Material Price is too low : hence the error message received : "Moving average price for material XXX is negative"
so Invoice cannot be posted for a specific Purchase Order .your MIRO does not work because of this error message.
you get the error message because you have a difference to the GR value.
MIRO tries to distibute this difference to your stock.
Means total stock value will be reduced, and MAP will be adjusted.
The total stock value is calculated with current stock quantity multiplied by current moving average price.
calculate this yourself.
then check with what value your goods receipt was posted
compare this value with the value your enter in MIRO. Is there a difference?
if yes then recalculate this formula: current stock value minus difference divided by stock quantity
you should already see that current stock value minus difference value will already result in a negative value.
if you divide a negative value by a positve quanity, then you get a negative moving average price (and this is not allowed, hence you get the error)
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