8 Replies Latest reply: Sep 19, 2008 2:17 PM by Deivakaniraja Rajaram RSS

inventorized and non inventorized

Kulothungan Arumugam
Currently Being Moderated

HI all,


Could you please explaine me briefly , what is the meaning of inventorized and non inventorized.




  • Re: inventorized and non inventorized
    Vivek Nehete
    Currently Being Moderated



    Inventorised means your value added in your stock account.



  • Re: inventorized and non inventorized
    Currently Being Moderated



    are you talking about

    Stockable and Non - stockable material.




  • Re: inventorized and non inventorized
    Priyanka Paltanwale
    Currently Being Moderated

    the material that involves in Inventory management is called Inventorized..like for eg you can see wht inventory magmnt covers;

    As a component of Materials Management, Inventory Management is directly linked with Material Requirements Planning, Purchasing, and Invoice Verification.


    Inventory Management provides information for MRP, which takes into account not only physical stocks but also planned movements (requirements, receipts).


    When a material is ordered from a vendor, Inventory Management posts the delivery as a goods receipt with reference to the purchase order. The vendor invoice is processed later by Invoice Verification. Here, the quantities and values from the purchase order and the goods receipt document are checked to ensure that they match those in the invoice.


    And the material whihc can't be stored or stocked..is called non-inventorized...


    Hope its clears...




  • Re: inventorized and non inventorized
    Pandari Kalwa
    Currently Being Moderated



    Inventorised inventory i stoke is taken into account & non inventorised means stock is not taken into account.that means u have to go to consumption account.



  • Re: inventorized and non inventorized
    keshub cha
    Currently Being Moderated

    Dude kindly let me know in which part ur talking taxes or material inventory part.

  • Re: inventorized and non inventorized
    Hari Yadav
    Currently Being Moderated

    When a cost is added on the material cost it is said to be inventorised where as those charges which are not added to material cost is are called non inventorised.


    Freight Charges are added to inventory cost, so it is inventoried where as VAT is not added to inventroy so it is non inventorised.


    Hope this clears your doubt.



    Thank and Regards

  • Re: inventorized and non inventorized
    Krupa Karan
    Currently Being Moderated


    The term 'inventorised' means, that the component cost is added to the materil cost or stock inventory. Like the frieght cost can or cannot be inventorised depends upon the setting in pricing procedure.

    Non-inventorised means the cost is not added to the material cost.

    Eg:       PB00....Base price   :  Rs.100

                FRA1...Frieght         :  Rs   10

    Total value of the material is  :  Rs 110

    Here the freight value is inventorised. If the Total value of material is  Rs.100 only, in this case the condition FRA1 is not inventorised.



  • Re: inventorized and non inventorized
    Deivakaniraja Rajaram
    Currently Being Moderated



    The values get added to the material cost. This is also termed as Non deductible in Tax calculations.If it is a inventorized duty, then u can't take credit of the duty like Excise, vat. Separate condition types with the transaction keys NVV.

    Non inventorized:

    This values will flow into the separate GL acct as per the acct determination.This is also termed as Deductible in Tax calcualtions. If it is a non inventorized duty, then u can avail the credit of duty like Excise & Vat. Separate condiiton types with the separate transaction keys  are predefined by SAP itself.


    You can see this in OBQ1 - Condition types for taxes, OBCN - Transaction keys & assignment of this in OBQ3 - Tax procedures.