what is moving price.

[Former Member]

what is moving price.

i heard moving price changes for each goods movement.does it mean it changes for gr or gi.

if i set standard price as 10,while creation of po i suppose 10 will be defaulted and can i change it to 11.

[former_member581212 · Accepted solution]

hi,

You can just change the net price and based on this the MMR MAP also changes baased on the following formula:

MAP = total vaue/total stock...

MAP may have itself changed by price difference posted from PO, GR and IR...

Regards

Priyanka.P

[Former Member]

Hi,

Moving Average Price will keep on change for every goods receipt. While you do goods issue, the material will take this moving average price as the material cost. The calculation of MAP is

Moving Average Price = Total value of the stocks / Total number of stocks (in storage location)

The price difference during MAP will go to stock account if sufficient amount of stock is there in storage location or it will go to price difference account.

Standard Price can be changed during purchase orders and the price difference will go to price difference account (PRD).

Regards,

Prasath

[Former Member]

Hi Sajid,

If you set a material to MAP the system will calculate the price of material as follows while doing GR.

MAP=Total Value/Total qty.

Existing MAP will be updated with every GR and GI transactions.

MAP can be changed through t-code MR21

Regards

Ali

[raghavendra_praveen]

Hi

MAP will change according to procurement quantity (GR quantity with GR value). If you issue materials then it refers to MAP in material master. You can change price in PO for a standard priced material but that changed price will hit PRD account if you do GR.

Check S_P00_07000139 report how does GR and GI affects the MAP of a material.

Thanks

Edited by: Praveen Raghavendra on Mar 9, 2009 8:29 AM