Moving Average Price

[Former Member]

Hi,

When I was going through a document on Valuation, I came across the below regarding moving average price.

Valuenew = Valueold + Quantityreceipt * ( Pricereceipt / Price unit receipt )

Could anyone explain what Priceunit receipt is.

Thanks

Aparna

[Former Member · Accepted solution]

Hi

pricing unit / price unit is The quantity on which the amount or percentage is based.

You want to create a condition record for a material price of US$8 for 1 piece. You enter "8" in the Rate field, "USD" in the Unit field, and "1" as the condition pricing unit in this field.

You create a condition record that gives a fixed discount of $10 to a customer who buys 1000 bottles. In this case, the condition pricing unit is 1000.

[Former Member]

Hi

Lets look at the below example

Suppose you have a PO of Price Rs 100 per 100 ( maintained in per unit field in po) and lets inward 10 units of material

and let existing MAP be =50

So new MAP= 50 + 10*(100/100)

Regards

Sandeep