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Former Member
Mar 06, 2009 at 01:39 PM

Material issue & valuate the Stock on FIFO basis



Our Stores people want to issue & valuate the Stock on FIFO basis.

For example, we procure a Material X, 10 Qty @ Rs. 10 on 01.01.2009 . The same Material X, 10 Qty is procured on 02.01.2009 @ Rs 12.

On 03.01.2009, we want to issue the Material, say 15 Qty. The Stores person wants that the System to issue first 10 Qty of 01.01.2009 & next 5 Qty of 02.01.2009.

The net Stock Value should be 5 Qty of Rs. 12.

We are keeping moving average price for the material.

For issuing Material on FIFO basis, do we need to activate the BATCH MANAGEMENT where in we can think of the following scenario , as required in our case:

MIGO Doc: 1, Date: 01.01.2009, Batch: B1, Qty: 110, Price: Rs 10

MIGO Doc: 1, Date: 02.01.2009, Batch: B2, Qty: 110, Price: Rs 12

Also pls. brief me the constraints in using FIFO Valuation, as some of my friends suggested me that SAP recommends Moving Average Price in case of Goods Issue/ Transfer.

How can we get the Balance Sheet on FIFO basis?