Price difference

[Former Member]

Hi friends,

In MM-FI integration,What is the price difference?

1.Standard price

2.Moving Average price

Which situation these are used,what are entries?

Please reply me.....

Regards,

Chandra.

[Former Member · Accepted solution]

Hi

Price difference is difference in the standard price and actual price.

In case if A material is on moving average price with 100 Rs.

GRN - MIGO made for 100 Rs. and if the same material is issue to production and then bill received(MIRO) for Rs.110 then Rs. 10 will transfer to price differnce account.

In case of B Material is on standard price after cost run the price set as 100 as the product of B material start the actual cost Material + Overhead stands to Rs. 110 then at the time of settlement of order Rs. 10 will transfer to Material Price difference account.

If the above answer is helpful kindly assign the points

Thanks & Regards

Mahesh