Activate Valuation Areas for Material Ledger (SAP Library

Activate Valuation Areas for Material Ledger

In this step, you activate the

If the material ledger is active for a particular valuation area, all materials in the valuation area are valuated using the material ledger.

Standard Settings

In the standard system, the material ledger is not activated for any valuation area.

Recommendation

If you activate the material ledger for a plant, you should also activate it for all the other plants in the company code. This ensures that the accounts in Financial Accounting and Materials Management are reconciled.

Damage Caused to Data by Errors

It is currently only possible to deactivate the material ledger if no material movement data exists in the valuation area.

Activities

You can transfer settings between systems (for example, from a test client to a target client). If you wish to do this, the system must check the data that exists there, to determine whether the material ledger can be activated. This check does not take place in Customizing, you have to trigger it in the application menu when you convert data for the material ledger as part of production start-up .

If you want to activate the material ledger, proceed as follows:

1. Decide on the valuation areas in which the material ledger is to be activated.

2. Set the Material ledger active indicator for the relevant valuation areas.

3. Set the indicator

Material ledger settlement: control in the material master and, if necessary, the indicator Settlement control mandatory in valuation area

1. Save your entries.

2. If you use the parallel currency valuation functions, check that the settings are consistent in Customizing:
Check settings

3. Transport the settings to the target client.

4. Check the settings in the target client by choosing Accounting -> Controlling -> Actual costing/material ledger, then Tools -> Check Customizing.

5. Convert the data in the target client for all active valuation areas by choosing Accounting -> Controlling -> Actual cost/material ledger, then Tools -> Production Startup -> Production Startup .

Further Notes

For further information on the material ledger and production startup, see Actual costing/material ledger .

In Global Settings, check:

Which currencies are defined
Check Currency Codes

Which currencies are assigned to the respective company code as index based currencies or as hard currencies for the individual countries, if currencies of this type have been assigned.
Define Countries

In Financial Accounting, check:

The currencies for the company code
Define Additional Local Currencies

The exchange rates
Maintain Exchange Rates

In Controlling, check whether the Var. CCode currency indicator is selected for the controlling area:

Maintain Controlling Area

In Logistics - General, check:

Whether the company code was initialized for Materials Manangement
Maintain Company Codes for Materials Management

Whether the attributes for the material types contain updates for values
Define Attributes of Material Types

In Materials Management, check whether the method for dealing with exchange rate differences in invoices is configured appropriately:

Configure How Exchange Rate Differences Are Treated