Two profit centers in same plant for one material

Question

Dear All
We have this request from a customer.
There is a material in 1 plant but need to track that same materials in 2 different cost elements depending on where these are used (e.g. for sales will be booked to profit center 1 and demo will be booked to profit center 2)
Now we can partially achieve this by splitting them into 2 storage locations however this will only give a report on quantity and not separate valuation since 1 material can only have 1 profit center per plant. So we can know there are for example 4 sales item in sales storage location and 2 item in demo storage location but we will not know their price valuation as it will show 1 combined value for all 6, and we cannot assume valuation per item to be total divided by 6 because the value for the sales item and demo item need to be different.
Is there a way to achieve this?
We could copy the material to another material with different material number but this is not ideal since it will create problems at the backend when updating material data and also causes duplication which we want to avoid.
Any suggestions on how this can be achieved -- e.g. I am sure most companies have demo units which are separate from delivery units how is this scenario managed in those companies?
Regards
Anant

Answer 1

Hi
Use split valuation. Using Split valuation one material can have multiple valuation prices. In your case you can create two Valuation types (Demo and Sale item) for valuation category say XYZ. Then you can manage different price for Demo and Sale item even if the material is same.
Read below example: If you have same material grade A and grade B. Grade A is $100/Kg and Grade B is $80/Kg. This kind of scenario is possible by using Split Valuation.
Regards,
J.Sankar