Definition

The posting variant is usually used for asset revaluation (see Posting Variant ). However, in Chile, you also use it with replacement cost valuation , where it has a completely separate function. In this context, you use it to instruct the inflation index adjustment program that the end of a half year has been reached.

Use

For replacement cost valuation, you define a posting variant with two entries, one for the last day of each half year. For example, if your fiscal year follows the calendar year, you would define a variant as follows:

When you run the inflation index adjustment program for period 6 or 12, the program resets the flag that the market price determination program has set for each material that it has determined a market price for. This clears the way for replacement cost valuation for the next half year.