Hi,

we have activated  LOG_MM_ SIT to handle the IFRS revenue Recognation for Stock- In-Transit for  customer sales.we have enclountered following issue:

BusinessRequirement

• After the month end ML close, business reconciles the inventory balance
  from various reports which includes review of inventory balance from GL balance
  with the subsidiary ledger balance like FS10N, CKM3N, MRN9, MC.1, and MB5B. The
  balance reported in each of the ledger should tie with each other.

MC.1 report Issue

• Inventory value shown in MC.1 report, does not show correct value of inventory for given plants, during analysis of the issue following points were observed.
• The balance reported in CKM3N, MRN9,MB5B are tying with each other
• Valuated Quantity shown in out put is correct. As expected, this does not include valuated quantity of special stock.
• Value of valuated inventory is wrong. The value shown includes price difference associated with special stock - stock in
  transit, but doesn’t include the value of special stock.
• The above given problem arises after month end closure in material ledger (actual costing in ML.
• This issues described above have started after the activation of Business function LOG_MM_ SIT
• Please note that all other report requirements are working as expected after activating above business function except MC.1
  report.

  Observations made in OMJJ settings

• For IFRS Revenue Recognition, SAP recommended standard solution was implemented after activating business function LOG_MM_ SIT. This was designed for handling the Stock-In-Transit transactions.
• New movement type 687 was used to handle the SIT related transaction.
• Movement type 687 will be used when we move the goods from the main plant to SIT and 687T (special stock Indicator will be used to determine SIT) will be used to handle the SIT stock.
• Standard SAP settings for 687 are maintained only for 687,687 E and 687Q and no settings were maintained for 687T in “filed selection”.
• For automatic postings, settings were maintained only for 687, 687E and 687Q and no settings were maintained for 687T.

        687                                                                               L                              WA04     2              PRD       PRU

• 687                                                                               L                              WA04     5              GBB        VBR
• 687                                                                               L                              WA04     12           AUM         
• 687                                                                               L                              WA04     16           GBB        VBR

Currently the MC.1 reports includes the price difference calculated on single & multilevel price difference during ML month end close and the value of inventory is not matching with CKM3N invnetory reprot.

Please guide us how to fix this issue.

Regards

Ramesh