In an manufacturing firm most of the externally procured materials are stored before they
are required for production or sales. The stock of such material must be updated on quantity and
Value basis .The material valuation determines and maintains the stock value of a material. The following formula is used to calculate the stock value
Stock value = stock quantity * material price .
The valuation area is an organization level at which material is valuated . It can be either company code
Or plant which we can configure in the customizing transaction OX14 ( Menu path is
Customizing Enterprise structure -> Definition -> Logistics General -> Define valuation level)
The price control procedure in material master record determines the value used to valuate the goods receipt
Of a material. Material valuation can be carried out according to the standard price (S price) or the moving
Average price (V price)
System calculates the total stock value for materials with standard price control as follows
Total value = Standard price * total stock
Moving average price
System automatically calculates the moving average price for every goods movement as follows
Moving average price = total stock value / total stock quantity
Go to the table MBEW for the material and plant . Make note of the number under MBEW-KALN1. Go to the table CKMI1 with that number. Enter the number at field KALNR. Follow the menu path Options -> User
parameters change to ALV Grid display. Now select the two columns for DATUM and UZEIT sort according to both of them (in ascending or descending Order, as you prefer).Here locate your document. You will see: the stock before the posting (LBKUM), the value before the posting (SALK3) and a
column with the MAP and another with the standard price
Each field represent the following
POPER Posting period
AWTYP Reference Transact.
AWREF Reference Document
AWORG Reference Org Unit
GLVOR Business Transaction
LBKUM Total Stock
SALK3 Total Value
VERPR Moving price
STPRS Standard price
BWKEY Valuation Area
DATUM Entry Date
UZEIT Time of Entry
Based on the FI document of each reference document we can able to see how each posting
affected the MAP variance .
209864 – Moving average price is disproportionately large
185961 – Moving Average Price Calculation
88305 – Moving average price zero set; no accounting doc.
88320 – Strong variances when creating moving average price
79483 – MM-IM: Creating the moving average price.