Finance & Controlling
What is Moving Average Price (V)?
A price control in which the material's valuation price is recalculated with each goods receipt.
It is common for purchased goods. Price changes follow receipts and invoice differences. Negative stocks and timing can distort the price, which is a common test focus.
Related terms
Standard Price
A price control in which inventory is valued at a fixed standard price, with differences posted to variance accounts.
Price Control
A material master setting that determines whether stock is valued at standard price (S) or moving average price (V).
Material Ledger
A sub-ledger for valuing inventory in multiple currencies and valuations, mandatory in S/4HANA, with optional actual costing.
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