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What is the impact of MRP on material valuation if STD. cost run is not performed and Price ind. V

Hi,

We have flouted all standard practices in terms of treating the production material price indicator with "V" and since we have not defined any activity prices and activity in routing we have not run cost run as well. Now when we run MRP against sales orders the respective planned orders are generated; converted into production order against which the confirmations takes place.

Now the material A is assigned Rs.100 in MM. Now the valuation is Rs.110 per UOM in MB51. We have not procured the material. NOTE MATERIAL IS PRODUCED.

There has been not price update through MR21.

Kindly let me know what would be the root cause.

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