Dear Sampat
Entry is 100% correct and system is working perfect.
Variance/revaluation accounts are normally not to be created as Cost elements. As you have created it as cost element hence it is posted to cost center and now disturbing your activity price calculation.
Even at my project earlier consultant has done the same and now what I did is that created new GLs for all variance/revaluation/WIP accounts and mapped them accordingly in required places. And in OKB9 mapped a separate cost center (other than production cost center) to handle any suspected posting to old GLs with any old transactions.
You can re-post these line items and then calculate the price.
In this way at least onward calculations can be ensured to be correct.
Regards
Rajneesh Saxena