If a production order is settled to a material account, the system expects one or more deliveries to stock.

Each delivery to stock credits the order and debits the stock account of the material.

In Customizing for Shop Floor Control you define how the production order is to be credited when a goods receipt is posted. A valuation variant is defined for each valuation area. This specifies which price is to be transferred from the material master record when the order is credited.

The price control indicator in the material master specifies how stocks of a material are to be valuated:

• If the Price control indicator in the material master of the material produced is S, the quantity delivered is multiplied by the standard price. Any difference between this debit posting and the credit posting to the order is posted to a price difference account.

• If the Price control indicator in the material master of the material produced is V, the quantity delivered is valuated with the price according to the valuation variant. The stock account for the material produced is debited with these costs and the moving average price changes accordingly.