WIP/FG Value reconciliation

pashya1972

Hi

I need to cross verify the value appearing in GL accounts of WIP/FG - Interim and Inventory A/c.
How I shd verify with resepect to rate per part and value appearing in GL.
In short I want to reconcile the qty/value ,rate and the GL Value.

Can anybody inform the steps for cross verifications? Explain a case of MFg. i.e.rmcost+capacity cost is used.

Prahsant

kapil4dynamics

When u post consumption of raw material against a production order it will dr WIP FG and Credit RM inventory account. Capacity will get posted when u actually post a capacity related entry either thru output journal or Capacity journal.

If ur RM cost is 100 (i am assuming that ur bom line has only 1 qty for the FG )and ur work center Direct ..cost field has 10 and Unit cost calculation is unit. (This is for per qty of FG produced).

If u have created RPO for 10 Qty then ur inventory a/c after finishing the production order and running the post inventory cost to G/L(depending on ur setup, whether u need this or not).

U will have 1000 (for RM) + 100(For Capacity) as debit in ur Inventory A/c for FG (and after running adjust cost item... batch job) and 1100 this shud be visible on item card of FG as well)

But this may have indirect cost on work centers and some more stuff added.