What is split valuation in SAP MM-IV - Invoice Verification?

SAP Term: split valuation

Component: MM-IV
Component Name: Invoice Verification
Description: An option that lets you manage stocks of a single material in a plant in different stock accounts in terms of value. You can valuate different stocks of the same material separately. &EXAMPLE& Externally procured and internally manufactured stocks of the same material within a plant are managed in different stock accounts with different valuation approaches and different price control.

Key Concepts: Split valuation is a feature of SAP Materials Management (MM) Invoice Verification (IV) that allows for the valuation of goods and services to be split into multiple accounts. This feature is useful when goods and services are purchased from different vendors and need to be tracked separately. Split valuation also allows for the tracking of different currencies, as well as different tax rates. How to use it: Split valuation can be enabled in the SAP system by setting up a split valuation indicator in the vendor master record. This indicator will then be used to determine which accounts should be used for the split valuation. The accounts can then be specified in the invoice document, and the system will automatically assign the appropriate accounts for each item. Tips & Tricks: When setting up split valuation, it is important to ensure that all of the necessary accounts are specified in the vendor master record. This will ensure that all of the items are properly accounted for in the invoice document. Additionally, it is important to ensure that all of the necessary tax rates are specified in order to ensure accurate taxation of each item. Related Information: Split valuation is closely related to other features of SAP MM IV such as account determination and tax determination. Account determination allows for the automatic assignment of accounts

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