Time - based valuation price according to price control

Dear All,
Please let me know the impact of using Time - based valuation price according to price control in Strategy Sequence in valuation variants (OKK4)
As i try to put Time - based valuation price according to price control in priority 1 and remove other priority but system is still picking moving price maintain in Material master.
Regards
Shayam

Dear All,
Any input on this issue.
Regards
Shayam

Similar Messages

MR21 for split valuation & price control "V"

hi all,
Case: Split valuation is activated but parent has price control "V" and child i.e. diff valuation types have "S". We want to make std prices of all valuation types "0". It is done but the parent still shows value in MAP.
a. How do we make MAP of parent as "0" (price control "V"), will it allow?
b. Will it impact and how e.g. MB5L
c. Is it ok if we ignore the valuation of parent
d. All valuation types under parent are made "0"
Thx
Bhushan

Hi
The price control at the plant level will always be V,where at the valuation type level either V or S can be maintianed.It is not recommeneded to ignore the valuation class at the plalnt level in case of split valuation because if you are going for costing run then this needs to be maintained.becoz cost of a material procured needs to be determined at plant level
Regards
Sandeep
Edited by: sandeep13 on Feb 8, 2010 12:49 PM

Split valuation-Price control with valuation category

Hi,
While creating halb material with valuation catergory Y,System select price control V,
I wish,it should be S, as after cost run value updated with standard price.
Regards,
Devendra

Hi,
I am not sure about moving thread to other forum since I don't find any such option in our purview. You can check the option to contact moderator who has right to do the same.
Also you can try with creating new thread in MM forum and close this thread here in PP forum thereby you can avoid duplication.
Regards,
Tejas

Price control at the time of GR

Hi
There is a requirement to control the price based on the document date entered at the time of GR.
The document date is nothing but the delivery challan date of the supplier.
The requirement is due to frequent change in prices and retrospective price changes are to be addressed.
Is there any userexit or note which can help achieve the above requirement.
Thanks
Rahul

Hi Merwyn
The example you have provided is the issue why i am unable to use the price control category 5 in the infor record or PO.
Here the requirement is as below:
Price valid from 01.08.2008 to 31.08.2008--- Rs 25
Price valid from 01.09.2008 to 30.09.2008--- Rs 28
The vendor delivery challan is dated 30.08.2008
The material reaches the customer on 02.09.2008
The GR is prepared in the system with
Document date - 30.08.2008
Posting Date -- 02.09.2008
The GR value taken is Rs 28...but this will create problem in IR.
Hence the requirement is to determine the basic price on the document date i.e the delivery challan date of the vendor.
Thanks
Rahul

Only price control "V" is possible for split valuation'

Hi
For semi finished items price control has been assigned as 'V'.when i am trying to change the same to S' I got the error message is"Only price control "V" is possible for split valuation''.Even i checked and corrected the MRP views in Material master.
Can any one help me to sort out this issue
Regards,
P.Selvakumar

Hi,
I guess that you are getting the error message M3 185 ('Only price control "V" is
possible for split valuation').   This message is correct.
ONLY materials with Moving Average Price can use the split valuation
function.
The reason is the following one:
If there are 2 valuation types, named X and Y.
There is an equality:
Material pricetotal quantity = Price Xquantity X + Price Y*quantity Y
In order to balance,
When X and Y is 'V', the header material should use 'V'.
When X is 'V', Y is 'S', the header material should use 'V'.
When X and Y is 'S', the header material should use 'V'.
So only price control V is possible for split valuation.
In accordance with the text of the message M3185, split valuation
requires the price code 'V' (moving average price) for the header
record.
Please, refer to the SAP Library (http://help.sap.com) documentation
under the menu path (for your current release level, 470):
MM - Material Price Change (MM-IV-MP)
-> Split Valuation
   -> Creating Material Subject to Split Valuation
"Creating Material Subject to Split Valuation:
1. First create a valuation header record for this material. This is
   where the individual stocks of a material are managed cumulatively.
To do this, fill in the Valuation category field on the accounting
   screen when you create the material master record and leave the
   Valuation type field blank. In the Price control field, enter V
   (moving average price), since a moving average price is constructed
   in the valuation header record from the values and quantities of the
   individual stocks. When you save, the system creates the valuation
   header record.
2. Then create the material for a valuation type.
   To do this, call up the material in creation mode again. Due to the
   fact that a valuation header record exists, the system requires you
   to enter a valuation type for the valuation category.
3. Repeat step two for every valuation type planned."
In order for the system to take into account the different values of
the substocks, the material at the header level must necessarily have
a 'moving average price' (V) control.
Regards,
MLM

Batch valuation with different price control

Hi experts,
Our requirement is to combine batch valuation and split valuation for the same material. We want to have valuation by batch (1 price for each batch). However, we need to classify the material into 2 types because of price control.
Example:
We classify batches into 2 types.
- in-house production (Price control S)
- purchasing (Price control V)
Make use of user exit, we may have batches starting with:
- PRD000001, PRD000002, PRD000003...
- PUR000001, PUR000002, PUR000003...
Our question is:
How can we achieve the requirement where sometimes we want S and sometimes we want V at batch level?
We understand that we can change the price control in material master after the batch is generated. But is it possible to change price control at the same time when batch is generated?
Please feel free to give any idea. Thanks a lot.

It is possible to have batch specific valuation by using valuation category X. This way, you will have a valuation type for each batch.
If the batches are created in advance (and not during material movements), then it is possible to have a separate price control and valuation class depending on batch number.
In your case, since the batch nomenclature for inhouse produced and purchased are different, it can be done without confusion.
Regards,
Aroop

Split valuation - material with price control V

Hi,
I have created material with split valuation ,ie val category as Z (auto batch).. and i did gr. and in mm03 i have maintained the pr control as V .. and later po and gr . when i checked in MM60 its showing the parent material and the child mat ie valu types/ batch materials are also in V... it suppost to have with S.. is there any customization need to have S price control for the child/ val type materials?? pls suggest

Hi UJ ,
Different price control are possible for different valuation types based on Valuation category , but this doesn't hold good for Valuation Category X- Auto Batch as there are no valutaion types linked to it in Config.
Therefore system proposes the same price control as that of parent material incase of Valuation Category(X)- Auto Batch
Regards
Ramesh Ch

*How to change the Valuation Category & Price control in material master*

Hello SAP Gurus,
I have a requirement to change the valuation category from 'X' to ' ' in accounting view of material master.
-> I have cancelled all the open PO's & SO's for the material
-> I have ensured that there is no stock for the material in that valuation area.
But still I get an error message that batch already exists for the material. When I check entries in MCHB I find that there are previous entires in MCHB with zero stock.
I have gone through the SAP note 155874 which recomends the archiving the effected objects.
Please let me know is there any work around to change the valuation category from 'X' to ' ' & price control 'V' to 'S'. I also need to change from ' ' to 'X' for a few materials.
Thanks for your advise.
Best Regards,
Narayan.

Note 155874 cleary describes what has to be done to be able to change.
There is no workaround, and if you change anything in the tables directly, then this will cause inconsitencies, as described in this note as well.

Price control indicator and valuation class

All SAP Gurus,
Is there any relationship between price control indicator (V and S) and valuation class?
We want to change the price control for certain materials from V to S and for certain materials from S to V.
Regards,

HI ,
There is no direct releation between valution class and the Price control.
Yes but a indirect relation.
it is by the maeterial Type .
in OMS2--we define the default Price control indicator.
in OMSK -we define the Material type and the Valution class linkage.
Know the Price control Indicator always triggers your value .and the way it has to be posted.(on a default value or a Purchase value on a weighted average basis)
and valuation class triggers ..where it has to be Posted.( GL account)
so it is how.
But there could some other implication of the chase of the Price control..becoz.your Previous period price and current period would implact.
you stock valution would impact.
so check all these before you Proceed
hope so it helps
Regards
Anjanna.

Split valuation and price control

Dear all,
Case :the price control for mat'l type MAIN is defined as S in IMG,
mat'l no.A with mat'l type MAIN,
test 1:
In plant 01, A with price control S
In plant 02, A with price control V, valuation category X, problem is when I create a PO in plant 02 with mat'l A,when goods receipt, the accounting docs is wrong(D:price difference, C:GR/IR), the debit should be inventory account, it should not hv price diff with price control V under this situation,
test 2,
In plant 02, A with price control V, without valuation category,the acounting document when goods receipt is correct.
test 3,
changed the price control for mat'l type MAIN to V in IMG,
In plant 02, A with price control V, valuation category X, when goods receipt , the accounting document is correct also.
I doubt why this happen, do the split valuation or valuation category X effect?or there's any priority abt price control?
Urgent, can anyone instruct me? thanks in advance, will assign points, thanks.
kathy

Hi, Kathy:
The price control in master data of material have the priority.
Besides, I guess the error happened is due to the incorrect valuation area configuration. If your valuation area is set to company code level, the system will use the same valuation method within a company code.
In this case, you need to set the valuation area as plant level to differentiate the valuation methods between different plants.
Hope it's helpful for you!

Production costs for material with price control V

Dear all,
Can anyone pls tell me, how will the costing occur for a material produced in-house and having price control 'V' ? I am not able to see the target costs.
Also kindly tell me the settings to be done in CO, like target cost version, valuation variant, costing variant, etc.
Thank you,
Shrenik

Rather than giving my own versions I have compiled here SAP inputs. Pl let me know if you require any clarifications:
Costing variant has the following components:
Define Costing Types
Define Valuation Variants
Define Date Control
Define Quantity Structure Control
Define Transfer Strategy
Define Reference Variants
Costing type:
In the costing type, you define the purpose of a material cost estimate by specifying, for example, which field in the material master record the costing results can be transferred to:
Update Cost Estimate
Standard price Standard cost estimate (01)
Tax-based price Inventory cost estimate
Commercial price Inventory cost estimate
Price other than std price Modified standard cost estimate or
current cost estimate
No update Any cost estimate
Define Valuation Variants:
Define Valuation Variants
Here you create a valuation variant containing the parameters required for valuation of a cost estimate.
You also specify which costing sheet should be used to calculate overhead.
Valuation Strategies
Material valuation
Here you define the sequence in which the system searches for prices from the accounting view or costing view of the material master record to valuate materials. You can also access prices from purchasing info records and condition types.
For material cost estimates, you also specify whether additive costs can be added to the selected price.
With configurable/configured material components and with procurement alternatives, the sequence defined here is ignored if the strategy "price from purchasing info record" was selected, in which case that strategy is always executed first. For more information, refer to the SAP Library in the component Product Cost Planning under Raw Material Costing or Mixed Costing.
Activity Types / Processes
Here you define the sequence in which the system searches for prices in activity type planning or actual activity price calculation in Cost Center Accounting or Activity-Based Costing to valuate the utilized activity types and business processes.
You also specify which plan/actual version is used.
Subcontracting
Here you define the sequence in which the system searches for prices in the purchasing info record. In purchasing, quota arrangements are used to create a mixed price for materials that are manufactured with external vendors with parts provided by the customer. You can specify whether the quota of the individual vendors that are entered in the source list for the material to be processed should be determined through the planned quota arrangement or the actual quota arrangement.
External processing
Here you define the sequence in which the system searches for prices in the purchasing info record or routing operation for valuation of the external activities.
Strategy Sequence
You define the individual valuation methods for the valuation variant as strategy sequences. For the valuation of the material components you define a strategy sequence that reads the fields of the material master record in a particular sequence such as:
1. Planned price 1
2. Standard price
3. Moving price
The first price that is not zero is used to valuate the material component.
Target versions:
Target cost versions are used in the following ways:
In variance calculation:
To control which variance (total variance, production variances or planning variance) is calculated
To valuate unplanned scrap( scrap variance)
Unplanned scrap is valuated in the period-end closing activities when the variances are calculated. You can specify in a valuation variant for WIP and scrap which cost estimate you want to use to calculate the target costs for the valuation of unplanned scrap. You assign the valuation variant to target cost version 0 if you want to include it in the valuation of scrap.
When you are using a cost object hierarchy with active distribution, you use the target cost version to control which cost estimate the system uses to calculate the target costs, which are used as the basis for determining equivalences for actual cost distribution.
The actual costs collected at the level of the hierarchy are distributed across the orders in accordance with these equivalences. This distribution is proportional to the target costs for the cost element under which the actual costs are written. Actual costs for material costs are distributed in proportion to the target costs for the origin group, such as for the material, if you have entered an origin group in the costing view of the material master record and have set the indicator Material origin, for example.
If no target costs were calculated under this cost element, enter a cost element group in the target cost version. The actual costs are distributed in proportion to the target costs for this cost element group. This cost element group should be complete. If costs were updated under a cost element that is not in this cost element group, no distribution is possible.
You can calculate equivalences on the basis of SAP standard target cost versions 0, 1 and 3.
The standard system supplies the following target cost versions:
Target cost version 0 ( total variance)
The amount of the total variance generates a posting in Financial Accounting during settlement.
For this version, select actual costs as the control costs and standard cost estimate as the target costs.
Target cost version 1 ( production variance)
For this version you choose actual costs as the control costs and planned costs as the target costs.
Target cost version 2( planning variance)
With target cost version 2, the costs from the preliminary order cost estimate are interpreted as control costs.
For this version, select planned costs as the control costs and current cost estimate as the target costs. You cannot calculate planning variances for the product cost collector.
Target cost version 3 (production variance of the period)
You compare the planned costs of the period calculated on the basis of an alternative material cost estimate (such as a modified standard cost estimate) with the actual costs of the period on the basis of the yield delivered to stock in the period.
The base quantity for variance calculation is the yield.
For this version, you choose the actual costs as the control costs and the alternative material cost estimate as the target costs. To determine the alternative material cost estimate, enter a costing variant and choose a costing version.
The target cost version specifies which data is to be compared. The target cost version also specifies which variance variant is used and therefore which variance catagories are calculated. You can define a different target cost version for each controlling area

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 .

Valuation Price error in Scheduling Agreement

Hello Experts,
I am getting inflated valuation while doing MIGO for delivery schedule.
It always comes as more than price of material in scheduling agreement and varies from 1.5 times to 4 times.
Example
Material Moving Average price: 3
stock : 0
Purchase price: 3.05
QTY RECEIVED 100
Value of goods at the time of MIGO has 4.27 price
I can give few more data
Pr. Date Cat: 5
Condition type is not group condition
Moving average price changes to 4.27.
This moving average price comes down to 3.05 once I do MIRO. But my , point is, why we getting inflated valuation at the time of GR.
Please let me know if anybody has come across such issue
Thanks and Regards
Gyanesh Kumar Jha

Allen
please check the details
Mater stock zero at the time of creation
mov avg price 1 at the time of creation
val class: 3000, price control V,
scheduling agreement net price: 1.28(1.5 with tax)
mat doc              mat no          mvt    date                qty   unit   value       Sch Agmt       item no
5000002301     409031796     103     15.03.2011     100     EA     0.00             7500000075     1
5000002302     409031796     105     15.03.2011     100     EA     256.41     7500000075     1
Let me know if you can find any details out of this.
Thanks and Regards
Gyanesh Kumar Jha

How to use user exit to complete the PR item valuation price?

Hi Experts,
I am working on a user exit about Purchase requisition and the description is as following:
In standard SAP, the Purchase Requisition (PR) is an internal document to translate a pur-chasing requirement. Standard, at the moment of a PR, no supplier is known and therefore no purchase price is known.
In standard SAP, the purchase price and price conditions are introduced in the Purchase Or-der (PO); these fields are not available in the PR. Instead, the PR contains an estimated valuation price per item, this is the historic purchasing price (standard price or moving aver-age price).
For the GFP project, the purchase price needs to be introduced in the PR. This is due to the fact that budget reservations are made for PRu2019s. Therefore, each PR needs to have a correct purchasing value. As budget forecasting also takes into account the tax (VAT), the PR value needs to be VAT inclusive.
The goal of this development is to ensure that the user does not need to complete the PR item valuation price manually. Instead, this field should be filled with the item contract or info record price.
The purpose of this development is to extract the correct purchasing price from the agree-ment / info record when applicable. Thus:
u2022If the user does not assign a source to an item, do not overwrite the item valuation price
u2022If the user assigns a source to an item based on an agreement, use the agreement number and item to extract the purchasing item price
u2022If the user assigns a source to an item based on an info record, use the info record number and purchasing organisation to extract the purchasing item price
The enhancement trigger is the assignment of a source of supply by selecting a certain pur-chasing agreement (contract) or a certain info record.
can anyone help me on this? do you know how to know the time when the trigger of the source of supply by selecting a certain pur-chasing agreement (contract) or a certain info record happens? thanks in advance!
Kind regards
Dawson
Edited by: Julius Bussche on Jul 25, 2009 7:06 AM
"Hi" removed from subject title...

Hi Debadatta,
Welcome to SDN.
Have you looked report program RM07MAAU (Report for Material Document Archiving)?
Hope this will help.
Regards,
Ferry Lianto

Can we release the standard price for a material whose Price control is "V"

Hi experts,
Could you please clarify my doubt that can we release the standard cost of a material whose price control is "V".
Our user is trying to release the std price. But its not getting released. If the material is of ML relevant I could have checked in CKM3 for any actual data existancy. I am aware that if any actual data existing the price could not be released.
But here this material belongs to a Non Material ledger relevant plant. So I cheked the stock overview and for any material documents if any. But this material has no stock.
I m confused how to check the material's transactions with FI entries.
Please help in this regard.
Thanks,
Sarat.

HI Sarat
1. You can release a std cost for material with V, but that wont serve any purpose.. The inventory valuation will happen at V alone
Either the material should have a BOM or Routing to release the std cost and MRP view shall have Proc Type as E / X
OR
You can have special proc in costing view as 20 and then execute CK11N for the material....
Some price must be there in material master which will get released as std cost (based on your valuation variant)
2. You can check material transaction using MB51
Regards
Ajay M

Time - based valuation price according to price control

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