Does moving average price work with multiple valuations?

[Former Member]

Dear All,

I have activated multiple valuations: Legal, group and profit center.

I have activated ML/Actual costing for this multiple valuations too.

Now I have 3 price fields in material master.

Could I use moving average price for some materials types in multiple valuations?

Thank you,

With best regards,

Kamila.

[udo_werner · Accepted solution]

Hi Kamila,

yes this is possible. With ML active this is controlled by the price determination indicator which would be 1 (transaction-based) instead of 3 (single / multi-level). How the moving average price in your additional valuations would be calculated based on the transactions is another question, but for exampe a goods receipt from an internal sales process with transfer price would generate different moving average prices in local and group valuation.

Additionaly also the price change transaction MR21 would be open to set different prices by valuation view.

best regards,

Udo

[Former Member · Accepted solution]

Hi Udo,

Thanks a lot for your help.

It seems ,when I have activated ML all materials by default have status ML active .

But we do have still some materials to be revaluated by moving average price.

How can I define them to be revaluated by moving average price?

Best regards,

Kamila.

Edited by: Kamilana Zhakenova on May 4, 2011 9:09 AM

[udo_werner · Accepted solution]

Hi Kamila,

yes, ML is always activated for all materials in a plant. To use MAP you have to set the price determination of a material to '2':

This is the F1 help of the field price determination:

Material Price Determination: Control Specifies how the material price determination should procede. You have the following options: With price control V in activity-based material price determination (indicator2 in the material master), the moving average price is calculated. With price control S, the material is valuated with the standard price and the moving average price is calculated for information purposes. In single-/multi-level material price determination(indicator 3 in the material master), the valuation price (standard price) remains unchanged and a periodic unit price is calculated for the closed period. This option is only for materials with price control indicator S,and is only recommended if in addition to multiple currencies and/or valuations, you use single-/multi-level material price determination. In single-/multi-level material price determination, a periodic unit price is updated for information, but it can only be used for material valuation in the closed period. Dependencies The indicator is only of use if the material ledger is active. Upon activating a valuation area for the Material Ledger in Customizing, you can enter what type of material price determination will be proposed when creating a material in that valuation area. This proposal will be ignored at production startup: the system automatically sets the indicator to 2 in the material master for all materials present. If you want to change the indicator for a particular material later, choose Accounting -> Controlling -> Actual Costing/Material Ledger -> Environment -> Change Material Price Determination.

best regards,

Udo

[Former Member · Accepted solution]

Hi, Udo,

Thanks a lot for full explanation Now everything is clear.

Best regards,

Kamila.