Entering content frame

Object documentation Replacement Cost Total Value Locate the document in its SAP Library structure

Definition

Total value of stock, which may or may not include an adjustment for inflation – depending on which of the programs below have been executed. It is only used for inflation accounting purposes in Colombia.

Use

The system first fills the Replacement Cost Total Value (RCTV) field when you run an initialization program. You run this one time only, to create an inflation view for materials relevant to revaluation. The RCTV field is filled with the value of total valuated stock, as of the last day of the previous year.

Then, the system updates and uses the RCTV value when you periodically run the following programs, following period closing:

This program takes the value provided by the last run of the Replacement Cost Valuation (Colombia) program (except for the first time, when it is filled by the initialization program), and adjusts it by means of an inflation index. It is then updated to the RCTV field in the material master, and is available for the next run of the Replacement Cost Valuation (Colombia) program.

This program takes the index-adjusted RCTV and evaluates all relevant goods movements in the previous period. The final calculated RCTV is then updated to the material master, where it is available for the next run of the Inflation Index Adjustment program.

Leaving content frame