Basics of Split Valuation 
Basics of Split Valuation
Use
In principal, you can use materials that are split valuated in as many different partial stocks as you want. The system split valuates these partial stocks based on the respective valuation type. In the AFS system the partial stocks refer to the batches or stock keeping units of an AFS material with grid values/categories.
Each valuation-relevant process, such as goods receipt, goods issue, invoice receipt or inventory is performed at the partial stock level. That way only the value of the affected partial stock is changed, and the other partial stock remains unaffected.
The total stock is also updated, in addition to the partial stock. The value calculation of the total stock results from the total of inventory value and inventory quantity of the individual pieces of partial stock (moving average price).
Features
In the Accounting1 view of the material master record, you specify whether an AFS material should be split valuated. The valuation type indicates the criteria according to which the partial stock should be split valuated. If you want to split valuate AFS materials by stock keeping units, choose valuation type X for the automatic split valuation (see AFS Customizing: split material valuation).
In the material master view AFS Valuation, you
define the inventory managing valuation types. In the material master record you can manage an accounting view with valuation-relevant data for each valuation type (see Accounting Data of the Valuation Types). The valuation type defines the characteristics of the partial stock. If you create a batch (at the first goods receipt), the valuation type is automatically written to the batch master record of the respective stock keeping unit and thus defines the valuation of the respective batch.
Note that it is not possible to use several valuation types for a material at the same time. For example, if an AFS material should be split valuated by stock keeping units (batches), (valuation type