Example: Single-Level Price Determination
Example 4:
For the raw material cocoa a single-level price determination is carried out in Period 1.
The material price analysis shows the following values after the single-level price determination in Period 1.
|
Quantity |
Preliminary valuation |
Price difference |
Exchange rate difference |
Price | |
Beginning inventory |
10 kg |
200 Mxn |
0 |
0 |
20 Mxn |
Receipts |
20 kg |
400 Mxn |
42 Mxn |
42 Mxn |
24.2 Mxn |
Other inward/outward movements |
0 |
0 |
0 |
0 |
0 |
Cumulated inventory |
30 kg |
600 Mxn |
42 Mxn |
42 Mxn |
22.8 Mxn |
Consumption |
10 kg |
200 Mxn |
14 Mxn |
14 Mxn |
22.8 Mxn |
Ending inventory |
20 kg |
400 Mxn |
28 Mxn |
28 Mxn |
22.8 Mxn |
Price differences are assigned to consumption through material price determination. If these differences are not entered into a multilevel price determination or multilevel price determination has not yet taken place, these price differences appear in the material price analysis under Consumption/not allocated.
See the following for further information:
Displaying Material Price Analysis Example: Price and Exchange Rate Differences Example: Goods Issue
During price determination, the system carries out the following calculation:
The price control is not changed in the master data. The raw material cocoa is valuated with the standard price. The price calculated through price determination is updated as a periodic transfer price in period 1 and as statistical information in the accounting view 1 of the material master.
Accounting View 1 in the Material Master
Period 1: Price control: standard price: 20 Mxn,
statistically updated moving average price: 22.8 Mxn
No postings occur in FI
No consumption is debited. For this reason, uncalculated price differences that are first entered into the higher processing steps during multilevel price determination appear in the material price analysis after single-level price determination