Inflation Data in the Material Master Record 

Definition

See Material Master Records.

Use

The material master record contains a number of fields for replacement-cost valuation purposes, provided the Inflation Accounting solution has been activated for Materials Management (MM) in your inflation method.

The system automatically updates certain fields when you run the replacement-cost valuation reports in update mode. Others you can maintain manually, such as the replacement cost.

Structure

If the material is relevant to inflation revaluation and appropriate Customizing settings have been made, you access inflation information by choosing Inflation data on the Accounting 2 view of the material master.

The inflation data in the material master is structured as follows:

The material is displayed, along with any relevant organizational data (valuation area and valuation type).

Here the currency in which the material is managed is displayed. In most cases, this is the local currency, but it can also be a foreign currency. In addition, the current period is displayed.

Here you assign the material inflation class to the material.

This is displayed for both the current and previous period, and includes, for example, the replacement cost, revaluation date, and the material moving average price and/or standard price.