WIP revaluation Implementation for Brazil Localization

Question

Hi Experts!
I need your knowledge for wip revaluation as follows.
1.Is  WIP Revaluation(not semi-finished material) mandatory for actual cost  in Brazil according law?
2.If it is mandatory, After actviation of WIP revaluation of material ledger(CKMLCP),
  Do we have to  revaluate avitivity price at matrial ledger closing instead of product cost collector closing
  during the mothly closing?
I'll appreciate your reply!
HK

Answer 1

Hi
Go to  SPRO-Controlling-Product Cost Controlling-Actual Costing/Material Ledger-Actual Costing-Activate Actual Costing
IUpdate of Activity Consumption in the Quantity Structure
    Setting for updating the consumption of activities and processes in the
    actual quantity structure. Three different settings are available:
    '0' = Update is not active
    '1' = Update is active but not relevant to price determination.
    Consumption is updated in the quantity structure but not taken into
    account upon price determination.
    '2' = Update is active and relevant to price determination. Variances
    between the activity prices/process prices posted during the period and
    the actual price at the end of the period are adjusted subsequently.
Consequences
    If the update is relevant for price determination in a plant, all
    allocations to orders that are settled to materials are posted with a
    constant price throughout the period. The valuation strategy is
    invalidated inasmuch as a price is calculated according to the strategy
    only for the first activity allocation. For all subsequent allocations,
    the constant price is used, even if the strategy would dictate
    otherwise.
    The update settings can only be used together with Actual Costing.
  Data can not be updated correctly if the setting changes within the
  period. (price determination would generate incorrect debits to
  materials)
Dependencies
  If you activate activity consumption update in the quantity structure
  with the with (Activity update relevant to price determination), the
  differences for the cost centers/processes are subsequently debited to
  the relevant material. Therefore, if you activate the activity
  consumption update in the quantity structure  with setting '2', you
  cannot complete the step 'revaluate actual prices' during period closing
  for Cost Object Controlling as this would subsequently debit the
  material twice.
Srinivas