diff --git a/erpnext/stock/deprecated_serial_batch.py b/erpnext/stock/deprecated_serial_batch.py
index f946f459c07..359027ec6be 100644
--- a/erpnext/stock/deprecated_serial_batch.py
+++ b/erpnext/stock/deprecated_serial_batch.py
@@ -228,7 +228,6 @@ class DeprecatedBatchNoValuation:
 				(sle.item_code == self.sle.item_code)
 				& (sle.warehouse == self.sle.warehouse)
 				& (sle.batch_no.isnotnull())
-				& (batch.use_batchwise_valuation == 0)
 				& (sle.is_cancelled == 0)
 				& (sle.batch_no.isin(self.non_batchwise_valuation_batches))
 			)
@@ -278,7 +277,6 @@ class DeprecatedBatchNoValuation:
 				(sle.item_code == self.sle.item_code)
 				& (sle.warehouse == self.sle.warehouse)
 				& (sle.batch_no.isnotnull())
-				& (batch.use_batchwise_valuation == 0)
 				& (sle.is_cancelled == 0)
 			)
 			.where(timestamp_condition)
@@ -318,7 +316,6 @@ class DeprecatedBatchNoValuation:
 				(sabb.item_code == self.sle.item_code)
 				& (sabb.warehouse == self.sle.warehouse)
 				& (sabb_entry.batch_no.isnotnull())
-				& (batch.use_batchwise_valuation == 0)
 				& (sabb.is_cancelled == 0)
 				& (sabb.docstatus == 1)
 			)
@@ -378,7 +375,6 @@ class DeprecatedBatchNoValuation:
 				(bundle.item_code == self.sle.item_code)
 				& (bundle.warehouse == self.sle.warehouse)
 				& (bundle_child.batch_no.isnotnull())
-				& (batch.use_batchwise_valuation == 0)
 				& (bundle.is_cancelled == 0)
 				& (bundle.docstatus == 1)
 				& (bundle.type_of_transaction.isin(["Inward", "Outward"]))
diff --git a/erpnext/stock/doctype/batch/batch.py b/erpnext/stock/doctype/batch/batch.py
index ae77672b730..4aeb165c7b5 100644
--- a/erpnext/stock/doctype/batch/batch.py
+++ b/erpnext/stock/doctype/batch/batch.py
@@ -157,7 +157,13 @@ class Batch(Document):
 			frappe.throw(_("The selected item cannot have Batch"))
 
 	def set_batchwise_valuation(self):
+		from erpnext.stock.utils import get_valuation_method
+
 		if self.is_new():
+			if get_valuation_method(self.item) != "FIFO":
+				self.use_batchwise_valuation = 0
+				return
+
 			if frappe.db.get_single_value("Stock Settings", "do_not_use_batchwise_valuation"):
 				self.use_batchwise_valuation = 0
 				return
diff --git a/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py b/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
index 9cf9f4d4958..4f22d83244e 100644
--- a/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
+++ b/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
@@ -3327,7 +3327,7 @@ class TestPurchaseReceipt(FrappeTestCase):
 		bundle = dn.items[0].serial_and_batch_bundle
 
 		valuation_rate = frappe.db.get_value("Serial and Batch Bundle", bundle, "avg_rate")
-		self.assertEqual(valuation_rate, 100)
+		self.assertEqual(valuation_rate, 150)
 
 		doc = frappe.get_doc("Stock Settings")
 		doc.do_not_use_batchwise_valuation = 1
diff --git a/erpnext/stock/doctype/stock_ledger_entry/test_stock_ledger_entry.py b/erpnext/stock/doctype/stock_ledger_entry/test_stock_ledger_entry.py
index 42e402e0005..c0171b7a710 100644
--- a/erpnext/stock/doctype/stock_ledger_entry/test_stock_ledger_entry.py
+++ b/erpnext/stock/doctype/stock_ledger_entry/test_stock_ledger_entry.py
@@ -484,7 +484,7 @@ class TestStockLedgerEntry(FrappeTestCase, StockTestMixin):
 		dns = create_delivery_note_entries_for_batchwise_item_valuation_test(dn_entry_list)
 		sle_details = fetch_sle_details_for_doc_list(dns, ["stock_value_difference"])
 		svd_list = [-1 * d["stock_value_difference"] for d in sle_details]
-		expected_incoming_rates = expected_abs_svd = [75.0, 125.0, 75.0, 125.0]
+		expected_incoming_rates = expected_abs_svd = [100.0, 100.0, 100.0, 100.0]
 
 		self.assertEqual(expected_abs_svd, svd_list, "Incorrect 'Stock Value Difference' values")
 		for dn, _incoming_rate in zip(dns, expected_incoming_rates, strict=False):
diff --git a/erpnext/stock/serial_batch_bundle.py b/erpnext/stock/serial_batch_bundle.py
index c88df01665f..8e64b4e856f 100644
--- a/erpnext/stock/serial_batch_bundle.py
+++ b/erpnext/stock/serial_batch_bundle.py
@@ -683,6 +683,8 @@ class BatchNoValuation(DeprecatedBatchNoValuation):
 		return query.run(as_dict=True)
 
 	def prepare_batches(self):
+		from erpnext.stock.utils import get_valuation_method
+
 		self.batches = self.batch_nos
 		if isinstance(self.batch_nos, dict):
 			self.batches = list(self.batch_nos.keys())
@@ -690,6 +692,10 @@ class BatchNoValuation(DeprecatedBatchNoValuation):
 		self.batchwise_valuation_batches = []
 		self.non_batchwise_valuation_batches = []
 
+		if get_valuation_method(self.sle.item_code) == "Moving Average":
+			self.non_batchwise_valuation_batches = self.batches
+			return
+
 		batches = frappe.get_all(
 			"Batch", filters={"name": ("in", self.batches), "use_batchwise_valuation": 1}, fields=["name"]
 		)