How To Fix CNVA_20290_CHECK027 - LIFO valuation is active; the valuation level is not company code

CNVA_20290_CHECK027 - Overview

• Message type: E = Error

• Message class: CNVA_20290_CHECK - Message class for company code merge preanalysis

• Message number: 027

• Message text: LIFO valuation is active; the valuation level is not company code

Self-Explanatory Message

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CNVA_20290_CHECK027 - Details

• The SAP error message CNVA_20290_CHECK027 indicates that there is a conflict between the LIFO (Last In, First Out) valuation method being active and the valuation level set in the system. Specifically, the error suggests that the valuation level is not set to the company code level, which is required for LIFO valuation.
  
  Cause:
  
  LIFO Valuation Active: The system is configured to use LIFO valuation, which is a method of valuing inventory based on the assumption that the most recently acquired items are the first to be used or sold.
  Valuation Level Misconfiguration: The valuation level in the system is set to a level other than the company code (e.g., plant level), which is incompatible with LIFO valuation.
  
  
  Solution:
  To resolve this error, you need to ensure that the valuation level is set correctly. Here are the steps you can take:
  
  
  Check Valuation Level:
  
  Go to the configuration settings in SAP.
  Navigate to Financial Accounting (FI) > Asset Accounting