SD Questions 1

[Former Member]

Hi

Plz send me the answer of the following questions:

1). What are the two possible ways of control for the cost of material in the material master card ?

2). What is the valuation class?

Thanking You,

Raj.

[Former Member]

Hi,

For youe first question,

We can manage it by two ways:

Standard price : This we define once and follow.

(ii) Moving Avg : As the name suggest its not fixed and fluctuates.

For the second question:

Valuation class: Its a specific property of materials we want to group together, Each valuation class is asigned a specific GL Acccount and when we do any posting against any valuation class it automatically takes care of the respective GL Account any posting goes to that GL account only.

I hope I could help you on these issues.

Do reward me if you find it useful.

Regards,

Abhi

[Former Member]

Hi,

2) Valuation class :

The valuation class allows you to define automatic account determination that is dependent on the material. The valuation class is a group of materials with the same account determination.

The valuation classes allowed depend on the material type. Several valuation classes are generally allowed for one material type. A valuation class can also be allowed for several material types.

The standard valuation class for material types are:

3000 for raw materials

3030 for accessory materials

7900 for finished products

Prase

[Former Member]

hi,

1. answer : standard price and moving avg price

for more information see this link ;

[standard price and moving avg price|http://www.sap-basis-abap.com/sapmm017.htm]

2. Valuation Class

You group together different materials with similar properties into valuation classes so that you do not have to manage a separate stock account for every material.

Which valuation class a material can be assigned to depends on the material type. You can define the following assignments in Customizing:

All materials with the same material type are assigned to just one valuation class.

Different materials with the same material type are assigned to different valuation classes.

Materials with different material types are assigned to a single valuation class.

A material is assigned to a valuation class in the material master record. The system checks whether the material type allows the material to be assigned to the valuation class specified.

The system refers to the valuation class of a material to determine which stock account to post to when a posting is made for this material.

regards

sadhu kishore