ckmlcp last two steps

[Former Member]

If  I run ckmlcp in month end,  for the steps" posting entry" after multi-level price determination, does system change material master from price control S to V immediately? then when the price control change back from V to S? in "posting entry" step, which kind of accounting document is generated? does it based on valuation class? Does the accounting entry as follows:  Credit: Inventory and Debit: price variance?

for the last step of CKMLCP mark price, does only future PUP price field is updated? other field in accounting view1 is not changed?

[Former Member]

Hi Robin,

I believe that after the post closing is done, yes, the material master price control in the previous period will be changed to V, well, as to my knowledge, this one is permanent, it won't go back.

About the accounting document, various accounting documents will be generated.

And yes, you are right, mostley they are based on valuation, depending on your automatic G/L Account customizing (please consult your FI and MM consultant for this, though CO consultant is usually also capable for this 😃 )

The accounting entry really depends on the transactions happened in the period to be closed.

If you would like to know more regarding the posting entries, try searching the internet, i think there are sufficient information regarding this.

When you mark price with CKMLCP, the future price in accounting view 1 is changed together with the "valid from" date.

Hope this helps.

Best Regards,

Erwin

[Former Member]

Hi, I'm confused, if we activiate material ledger in Apr.5, we run CK40N to update standard price in Apr.20

. in Apr.30,  we run KKS2, co88 and CKMLCP, finished product price control change from S to V.

so in May.30, we run CKMLCP, system didn't change price control for Finished product and only post

accounting entry. if during May, I only have Goods receipt 10 qty, 100 USD and goods issue 5 qty, 50 USD.(1) can you tell me the accounting entry for CKMLCP :" posting entry" steps, I can't find these on internet,

(2), secondarily, does all Finished product need to setup price determination: 3, price control: S before material master upload to PRD?

[Former Member]

Hi,

Ok, i suppose you know the price release and the things to be aware of when ML is activated, right?

So, i assume that the CK40N is updated correctly, then we will have no issue until the Apr 20.

In Apr 30, after you post closing in CKMLCP, the finished product price control will change in period 04 from S to V, but in the new period of 05, it will still be S.

(1) Regarding the accounting entry.

If you are doing the post closing for the period of Apr, then the entries in May will have no effect for the accounting posting in Apr.

(2) Well, it truly depends on your requirement, but normally, SAP would suggest the FG need to be set wit price determination: 3. There is a customizing on this to default the price determination for the material created. Bear in mind, that you can always change this in the CKMM transaction

BR,
Erwin

[Former Member]

No, I'm asking what is the ML documen accounting entry generated by CKMLCP in May.30 when I run CKMLCP.

during May, I only have Goods receipt 10 qty, 100 USD in May.12. and goods issue 5 qty, 50 USD in May.20.can you tell me the accounting entry for CKMLCP ?

[Former Member]

Well, it is really not that simple to determine the accounting entries that will happen.

You see, the posting entries during the closing will depend on many aspects:

- What is the price determination of the material?

- What is the price control of the material?

- How is the material procured (internally / externally)?

- Was there any price difference posted during the GR / IR?

- Is there any multilevel price difference? etc...

Assuming the material you have is using price determination 3 and price control of S and NO price difference (meaning only GR, GI as you said), then NO accounting document will be posted during the CKMLCP. The accounting documents will only be posted during the GR and GI.

Regards,

Erwin

[Former Member]

My standard price for FG is 10 qty, 90 USD, so GR in May.12 price variance is 10 USD

assuming in IR, 10 qty, 110 USD, 20 USD difference from standard price, can you tell me what's the accounting entry for CKMLCP for 10 USD and 20 USD,

is it:

Dr: inventory  10 USD

  Cr: price variance 10 USD

Dr: inventory: 20 USD

    Cr: exchange rate variance 20 USD

but i believe GI also generate material ledger document as we need to revaluate consumption, can you tell me the CKMLCP accounting entry for GI,

is below correct:

Dr: cogs  5 USD

Cr:  price variance 5 USD?

[Former Member]

Hi Robin,

For the sake of simplicity, let us just assume that during the IR, the price diff will be posted to price variance also, okay?

Combining your first scenario and second scenario

My standard price for FG is 10 qty, 90 USD, so GR in May.12 price variance is 10 USD

assuming in IR, 10 qty, 110 USD, 20 USD difference from standard price, can you tell me what's the accounting entry for CKMLCP for 10 USD and 20 USD

and goods issue 5 qty, 50 USD in May.20.can you tell me the accounting entry for CKMLCP ?

During the post closing, you generally get:

Dr. Inv           15 USD

Cr.     Price Variance     15 USD

Dr. COGS     15 USD

Cr.      Price Variance      15 USD

BR,
Erwin

[Former Member]

how 15 USD in each case is derived?

[Former Member]

You see the total of price diff is 30.

You have 50 materials used, and 50 left in the inventory.

So, half of the price diff will go to inventory and the other half will go into the cogs.

Regards,

Erwin