Hi
Valuation area is the level where the valuation is carried out by the organisations. It can be either at company code level or at Plant level. This means if you have settings set as Plant as valuation level then your materials will be valuated at plant level. Each plat can have independent prices for the same material.
Now stock valuation is based upon the price indicator you have in the material master i.e if you have V then it will be valuated in MAP and if you have S then it will be valuated at standard price. So your valuation area has nothing to do with it. Please do not mix these two things. Now comes your query, buying cost i. e Purchasing ... what is the indicator you have? Generally speaking SAP std recommends to have MAP- i.e V as the price indicator so your materials will be valuated with weighted average price i.e each time you buy material the price will change in the master. Now if you issue the material then it will be issued with the existing MAP only.
Similarly finished products.. generally it will have S- (std price) as the indicator. Once set this does not change automatically unless it is changed manually or by cost run if applicablle that means you again do business with master price available in the material master and your stock/inventory will be valuated with that price only. Selling price will be always different than the master price for the reason that you will be adding you other expenses like margins and taxes etc etc.
Regards
Bluesky
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