Significance of material type and vendor account group?

10.Significance of material type and vendor account group?

Answer: 

Material type and vendor account group controls many things related to that master data.

Material type:

Material type defines the type of material they are dealing, the main significance involves

1.Number ranges (Internal or External)

2.Field selection (Which field to be mandatory)

3.Quantity and value updating (It involves checking whether the material will be managed on Quantity basis or value basis)

Eg: if there is quantity check then when we post MIGO, the material document will gets posted

When you check both quantity and value then both material document and account document get posted.

4.Internal or external purchase orders allowed or not.

5.User departments (Which departments can use this material for business purpose)

6.Valaution classes (respective valuation class will get triggered)

7.Price Control

Vendor Account group:

Vendor account group controls many things

1.Vendor master number ranges

2.Field selection

3.One-time vendor (It mentions the vendor is one-time vendor or regular vendor)

4.Vendor Subrange (Subrange for purchasing and partners)

5.Partner functions