valuation area function

[Former Member]

Hi,

I would like to clarify the use of valuation area for plant.

May I know if valuation area is used to valuate the stock/material (inventory) cost? Meaning the buying cost but not the selling cost, right?

Thanks

Rgds

[Former Member · Accepted solution]

valuation area for plant is that ur material is valuated at plant level

ie single material can have diffrent value in diffrent plant.

valuation area = plant

material can be valuated diffrently based on plant. purchase and sales will afect in MAP only of that plant where u have purcased

and will not effect the other plants valuation

hope this helps

[Former Member · Accepted solution]

Hi,

Thanks.

But I still not so clear. It is used to valuate the material or inventory cost or selling value?

I need to know it is for purchases cost or meant for sales value.

Rgds