Valuation class is group of material with the same account determination.

The link between the valuation class and material group will establish through the account category referance. We will assign valuation class to account category referance and in turn account category referance is assigned to material group. At the time creation of material by using the material group,all the valuation classes are defaulted based on the account category referance.Since account category referance is assigne to material group. Finally in OBYC T.Code we will give account determination for auto posting to GL Accounts to this valuation class.

There could be many reason posting goods to GR blocked stock, e.g. qty delivered are are short w.r.t PO or any visual damage to the goods or any clearence required or any documents missing. Due to such reasons it is preffered to post the stock in to GR block stock when it may take time to clarify and negotiating vendor whether to accept the delivery or not. if you dont want to accept the delivery you can return the goods and issue a return delivery to vendor. Benefit of doing such is GR blocked stock is still vendor's property and since it doent have any accounting documents posted so it is easy to return such kind of delivery without going through an hassle of posting it in to unrestricted, or Quality inspection or blocked stock and then reject it or return to vendor and wait for the credit memo from the vendor. Most important part of this is GR blocked stock is not owned by your company, it is still consider as vendor's property and hence while posting it in to inventory doesnt create any accounting documents and update stock value. In Valuated stock every material in stock is managed on a both a quantity basis and a value basis. The monetary value of each quantity of material is calculated separately. while non valuated material is maintained as per quantity and not on the basis of its value.

Value categories are under PS / PM configuration and although it is configured by those consultants best to work with CO consultant as easier to configure if you have defined cost element groups relative to the value categories you wish to report. Need to define categories you wish to report - e.g. labour, materials, sub contractors, overheads etc - normally there are about 6 key groupings however really depends on the types of project your organization undertakes. Once have defined categories you then need to assign cost elements or cost element groups to value categories. After that if you have posted any type of transaction against your projects using cost

elements you will need to execute transaction CJEN - this will align the information database with the new configuration. The transaction to check value categories is CJVC.Set up can be performed in opi 1. In MHO, it is definitely a CO consultant who has to set it up, even though it fa lls under PS in the IMG. The reason a CO guy has to look into this is because there are cost elements and cost element groups which would need assigning, which may fall out of the scope of PS. Of course, defining the categories would depend on your proj ect requirements.These would be used in Project Information Systems set up. Q1- I have Once controlling area and 4 company codes assigned to it. Company code validation is checked in controlling area. I want to use one cost sheet for allm 4 company codes. Now when, I want to assign credit key for Overhead rate, system asks for cost object(in my case , cost centre). Which cost centre should I give. cost center has one cpmpany code in it's master. I cannot assign more than one cost centre there. There is no dependency available likie for Overhead rate ? ANS Yosu wouldn't normally post overhead costs across company codes, so you have a choice of dependencies to use. e.g. in the simplest scenario, if you want to use the same overhead rate across all materials across all compan y codes, then you would use Dependency D030 - Overhead Type/Company Code. You would then enter the overhead cost center per company code. i.e. you would make four entries with the overhead cost center for each company code and the same overhead rate for all company cod es. If you would like the same overhead rate for all materials per plant, then you w ould use Dendency D020 - Overhead Type/Plant. If would like a different rate for every ma terial, then you would use Dependency D010 - Overhead Type/OH Key, and enter a differen t OH Key in every manufacturing order or product cost collector.