How To Fix MY003 - The newly determined price for material & & & is too high

MY003 - Overview

• Message type: E = Error

• Message class: MY - Messages for Balance Sheet Valuation(Low.Val.Det./LIFO/FIFO)

• Message number: 003

• Message text: The newly determined price for material & & & is too high

What causes this issue?

For material <(>&<)>V1& <(>&<)>V2& <(>&<)>V3&, the system determined a
new price that is higher than the field definition for the physical
inventory prices in the material master records allows.

System Response

The material is removed from further processing.

How to fix this error?

Make sure that there is an appropriate value in the price unit in the
Accounting 2 view of the material master record.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

MY003 - Details

• The SAP error message MY003, which states "The newly determined price for material & & & is too high," typically occurs during the pricing process in SAP, particularly in the context of Material Management (MM) or Controlling (CO) modules. This error indicates that the system has calculated a new price for a material that exceeds a predefined threshold or limit.
  Causes:
  
  Price Control Settings: The material may have a price control setting (e.g., moving average price or standard price) that is being violated by the new price calculation.
  Price Variance: The new price might be significantly higher than the previous price, which could trigger a warning or error based on company policy or system configuration.
  Configuration Settings: There may be specific configuration settings in the system that define acceptable price ranges for materials.
  Currency Fluctuations: If the material is priced in a foreign currency, fluctuations in exchange rates could lead to a higher price.
  Costing Variances: