Cost Variance

sunnyk

Greetings,

We have created a Prod Order and post the consumption but before we actually use those items in production there was a Some change from customer side as they dont want those Items in a Finished Good, so we returned all the items back to Stores using consumption journal only but with -Ve quantity. But when we see statistics the variance is coming. We want to close this Work Order but this amount will come in the inventory report. My question is what to do in these situations?

chengalasettyvsrao

while you are returning to stores in the consumption journal with -ve Quantity , use Applies to Entry ( ILE No ) and post .

Then u will not get any variance .