Material Valuation and the Material Ledger in SAP S/4HANA

Name: Material Valuation and the Material Ledger in SAP S/4HANA
Rating: 4 (2 reviews)

Tom King

Apr 2020 · Espresso Tutorials GmbH

2 reviews

Ebook

239

Pages

Tools

Eligible

About this ebook

The methods used for inventory valuation have been transformed with SAP S/4HANA. The material ledger is now integrated with the Universal Journal and is the sole means for valuing materials. This book covers how valuation is managed in up to three different currencies, in parallel, without requiring the actual costing functionality. Learn how the material ledger interacts with the Universal Journal and how to configure the currencies used for parallel valuation. Investigate various valuation approaches and see how legal, group, and profit center valuation views can be used to help understand company profitability. Be guided through the configuration steps that enable these multiple valuation approaches. For those who are using or intending to use actual costing, learn how the actual cost is determined and the steps required to set this up to achieve maximum benefit. Find out how the actual costing run works and how alternative valuation runs can be used to provide additional information about inventory values. Review the optional business functions FIN_CO_COGM for parallel valuation of cost of goods manufactured, and LOG_MM_SIT for intercompany stock-in-transit and actual costing to see how they can be used for additional analysis of inventory. Investigate the different forms of balance sheet valuation and how they interact with the material ledger.

- Valuation in parallel currencies, with and without transfer pricing

- Defining currencies and using them with the material ledger

- Valuation using standard cost, moving average cost, and actual cost

- Balance sheet valuation methods

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Ratings and reviews

2 reviews

About the author

Tom King is a graduate of Northwestern University and recently retired as a senior business analyst with a focus in controlling and product costing. He has more than 10 years of experience with the SAP FI-CO modules, primarily as an internal consultant. Prior to that, he was involved with the modeling and design of an Activity Based Costing system using a different ERP system for his company’s European operations. He has spoken at conferences on several CO module topics and is the author of Practical Guide to SAP® CO Templates, SAP S/4HANA Product Cost Planning Configuration and Master Data, and SAP S/4HANA Product Cost Planning – Costing with Quantity Structure.

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