3694753 - Difference between Material Inventory Values - Balance Summary App and Display G/L Account Balances App

• Difference observed between the Ending Balance Amount in Company Code Currency in "Material Inventory Values - Balance Summary" App and "Display G/L Account Balances" App.
• In "Display G/L Account Balances" App, the Ending Balance Amount is XXX (where XXX is the Ending Balance in Display GL Account Balances App).
• In "Material Inventory Values - Balance Summary" App, the summed Ending Balance Amount is YYY (where YYY is the Ending Balance in Material Inventory Values App).
• Expected outcome: Both amounts should match.

Image/data in this KBA is from SAP internal systems, sample data, or demo systems. Any resemblance to real data is purely coincidental.

SAP S/4HANA Cloud Public Edition

Open the App "Display G/L Account Balances".

1. Select values for Ledger, Company Code, G/L Account, Fiscal Year, Currency.
2. Press "Go".
3. Observe the Ending Balance Amount in Company Code Currency is XXX.

Open the App "Material Inventory Values - Balance Summary".

1. Select matching values for Ledger, Company Code, GL Account, Reporting Key Date to match Fiscal Year.
2. Press "Go".
3. Export the report to Excel to see total Amount YYY Ending Balance Amount in Company Code Currency.

Expectation is both Amounts should match.

• The two Reports operate on a different logic:
• "Display G/L Account Balances" App reflects Financial Accounting Balances posted to the Ledger by Posting Period.
• "Material Inventory Values - Balance Summary" App reflects material-level valuation for a Key Date, based on Quantities and Valuation Prices.
• Discrepancies can occur mainly due to Manual FI postings to inventory accounts.
• Other reasons could be:
  • Open GR/IR accounts (Goods received but not invoiced).
  • Price Differences (Price Variances posted to separate Accounts).
  • Different Valuation Methods (e.g., Moving Average vs. Standard Price).

1. Understand that the Difference between the Reports is by Design due to their distinct Logic.
2. Reconciliation requires: Checking for FI postings not reflected in Material Valuation.
3. In the Results in the App Display Line Items in General Ledger bring in the field Reference Document Type.
4. Group as per the screenshot below.

Journal Entries with reference BKPF and BKPFF originate within Finance and therefore you would not expect them to appear on Material Management (MM) stock balances. 

1. Refer to the Documentation for both Apps to understand their respective Logic:

• "Material Inventory Values - Balance Summary": Material Inventory Values Balance Summary
• "Display G/L Account Balances": Display GL Account Balances

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