Does zero value PO update MAP ?

[#1]

Hi MM Gurus,

Need to check if I create a zero value PO, with account assignment category as "Y" - No Cost,, nett price as zero and "free" indicator as checked, upon GR, will the MAP price be updated ?

For these "free" goods that are received into the system, it is presently sitting in the Plant level. If I transfer them to a storage location level, will the MAP be updated also ?

I search through the forum and there does't seem to be an answer for this.

Thanks for your help in advance.

[Former Member · Accepted solution]

Hi Vincent,

If your PO is created with account assignment, the GR will be expensed directly to the cost object. It does not get posted into stock:

Dr Expense account - Cost Object

Cr GR/IR

MAP is not affected whether it's free of charge or not.

Phyllis.

[Former Member · Accepted solution]

Dear Phyllis,

Thank you for your reply.

But I have 5 person here telling me that the MAP will be updated once the GR has been done for free goods. Also, can further elaborate on "it does not get posted to stock".

The PO settings that I have created is :

Account Assignment category = Y (No Cost)

Free goods indicator = checked

Nett Price = 0

Thanks

Vincent

[Former Member · Accepted solution]

Hi Vincent,

It all depends on your Account Assignment 'Y'. It's not standard so it depends on how it's defined in your system.

When you use this account assignment, do you have to enter any cost object in the Account Assignment tab, e.g. cost centre, order, asset, etc? If yes, then the qty is not updated into the material master. If you DONT enter any cost object, then the quantity is updated back to the stock account and your MAP is affected.

Hope I make this clearer for you.

Phyllis.

Edited by: Phyllis Waugh on Oct 10, 2008 4:46 AM

[Former Member · Accepted solution]

Hi Phyllis,

I did an test in my test environment and you are correct. I did not enter any cost object in the Account Assignment tab

The PO that was received in does not affect my stock level and MAP. Thanks Problem solved.