Inventory valuation

[Former Member]

Hi ,

Any body can explain for inventory valuation for an article in site level.

Regards,

Logi

Edited by: Logi Saravan on Nov 26, 2008 8:03 AM

[Former Member]

I'm not sure if I understand the question, but I will try to explain it. ECC can be configured for client-wide valuation or valuation area valuation. Most (if not all) retail implementations will be configured with valuation area valuation. Each site has its own valuation area, typically equal to the site. This allows each site to have its own value for a given article. When creating an article you can choose whether you use standard cost or moving average cost. If you're usinging moving average cost, then as articles are received, the moving average cost may or may not change.

- Site 1001 has 0EA of article 4711 on hand.

- They receive 50EA of the article, at a cost of 40USD. They now have 2000USD of inventory and 50EA for a moving average cost of 40USD.

- They sell 10EA and now have 40EA on hand. They have 1600USD of inventory and still have a moving average cost of 40USD (1600EA/40USD/1EA = 40USD).

- They receive 10EA more at a new cost of 50USD.

- They now have 50EA on hand with an inventory cost of 2100USD (40EA * 40USD/1EA + 10EA * 50USD/1EA = 1600USD + 500USD = 2100USD)

- The new moving average cost is 42USD/1EA (2100USD/50EA = 42USD/1EA)

Now, if you're talking about inventory valuation at retail (transactions VKU2, VKU3, VKU7, etc.), then that is a whole separate explanation.

Let me know if this answers your question, or if you are referring to retail valuation.

[Former Member]

Hi,

Thanks for your reply. But I need inventory valuation at retail.

[Former Member]

Hi,

As per the example given by you, can v do split valuation (or) joint valuation?

I tryed split valuation, but I am not able to post GR.

"Express document "Update was terminated" received from author"

Update was terminated

System ID.... ER1

Client....... 900

User.....

Transaction.. MIGO

Update key... 3C6ABFDD945BF146BA2C001E682F8BDA

Generated.... 01.12.2008, 11:08:31

Completed.... 01.12.2008, 11:08:31

Error Info... M7 001: Check table MCHB

Regards,

Logi