For eachPlant, you can specify that a planned price is to be released as the valuation price upon the first goods movement in a new period (as long as the validity date has been reached). You do this in Customizing, under
Controlling ® Product Cost Controlling ® Actual Costing / Material Ledger ® Activate Valuation Areas for the Material Ledger
When using dynamic price release, the planned prices are handled by the system with the following priority:
It is a good idea to use dynamic price release if it would pose organizational problems for you to release the planned prices between the program for period closing and the first goods movement. In this case, use dynamic price release so that the goods movements in this period are valuated with the new price. Note that you must release the planned prices before the end of the period for materials that are not moved in this time.
Dynamic price release occurs when an order is settled, an invoice is created, or whenever a goods movement occurs for a material.
For more information, see
You can use this function even if you have not installed the material ledger. If you have installed the material ledger, you can use this type of activation for both material price determination settings.
The first goods movement that triggers dynamic price release is valuated with the new price.
The existing inventory is revaluated by the system and the following documents are generated: