Standard Cost Org -- PPV generation
We have a requirement for our client to maintain Standard Costs in a Foreign Currency with a Budget exchange rate for the year. Std cost to maintain in USD with a fixed exchange rate to Euro (primary ledger currrency). For this, we maintain USD standard costs in a custom table and using Budget type exchange rate conver to Euro. The converted Euro amounts are updated into the Standard Costs for all Items.
While doing POs in USD for these items, a corporate exchange rate (bloomberg rate) is used. Though the Purchase Price for the Item in USD = Standard cost in USD, due to the exchange rate difference of - corporate rate vs the Budget rate , there arises a PPV in Euro, which is due to the exchange rate. The client does not want this PPV to be shown.