Many times vendors keep supplying goods continuously to keep your business up and running. Prompt delivery is of utmost importance and price negotiation is a continuous activity which takes place in isolation with the deliveries. Vendor will keep on supplying you with a price agreed earlier. But one fine day your purchasing department will agrre to pay the vendor with a price which is effective from a past date i.e. price becomes effective retrospectively.
In such situations you use a standard SAP functionality called Revaluations which is executed through MRNB transaction. You use this function within Logistics Invoice Verification to determine the difference values on the basis of price changes that are retroactively valid and to create settlement documents for them. You can also revaluate purchasing document items for which you have entered invoices or credit memos in different currencies. You can send the revaluation settlement documents to the vendors as Messages or via EDI.
For Pre-requisites and method of carrying out this functionality please click here.