In the command bar of SAP enter the transaction code OKEQ or follow the following path to create version for your controlling area;
SPRO > Controlling > General Controlling > Organisation > Maintain Version
Before setting version for your controlling area you need to set the controlling area as default. To do that enter transaction code OKKS and then enter your “CO Area” to make it a default or else from the above version settings you need to select extras > set controlling area.
Version 0 is maintained for all the actual and plan data posting and in addition to that it also allow you for WIP and variance. You can create your own version by copying the existing version 0 or by selecting “new entries” from the top of the menu. But version 0 will be the only version where actual transaction data is posted. We can create more than one plan version by copying the existing one or by selecting the “new entries” option.
To set version 0 for your controlling area, you need to select the version and double click on the controlling area setting option available on the left hand side of the screen.
Now tick the plant and actual button and make valuation view as legal valuation. Select for WIP and Variance option also.
Now double click on “setting by fiscal year” and by selecting your fiscal year click on display tab available in the top of the screen.
Against your controlling area, version 0 and fiscal year you do settings for planning, whether copy is allowed from this version or not and the currency translation. For currency translation you need to decide with the business process owner. You can use M or P as exchange rate type and put the value date for it.
Under the pricing tab you define how the plan and actual data are to be evaluated. Generally average price is selected but you can choose yours.
Now save it