exciseduty caluclation help

Hi nav experts,


We are implementing navision to manufacturing firm. What my query is regarding Excise duty calculation.
Our firm make finished product in two process.
1. with their own raw material
2. with customer material

If it is client material there is no problem with exciseduty calucaltion.

But when in the case of customer rawmaterial there following different method.

I will explain the process. .

They do job work. that means customer will send raw material to our client directly from purchaser with sales invoice.. with customer material our client make finished product. For that they will charge conversion char ges per metric tone.They calculating this excise duty differentrly.
When they are creating sales invoice at that time they calculating excise duty on purchase rawmaterial cost per metric tone+conversion charges+ Some value addition tax = some value(yyy)
On this some value(yyy)* how much iam sending finished product = zzz
On this zzz they calculating 16 % excise duty.
Finally they are not calculating on sales line amount.
This process for conversion process according to Indian law.
This is process. Suppose Customer send (108.11 metric tone raw material).From that our client take some material and make finished product , send to customer. This is process. We did not send total quantity at a time . we send many many times with little bit quantities….like some time 2 MT, 6 MT, 8 Mt………
For example customer send 100 kgs rawmaterial to client Now we sending 3.366 finished product to customer out of 100 kgs.
On this how they are cluclating excise.
Line amount = 3.366*16000=53586

Excise duty calculation :
They are not calculating excise duty on sales amount, they calculate on this below method
First customer send raw material That total cost is XXXXXXX
Our client take raw material unit cost 71710(per metric tone) suppose
Conver sion charge 16000( per metric tone)(to convert raw material to finished goods)

Some value addition tax 8771
10 %( 10% on sum of above)

Total value (71710+16000+8771)= 96481

Now I am sending 3.366 to customer. Out of total qty how much I received
S0 total value 96481 *3.366= 324755.05


On this amount (324755.05)our client calculate excise duty 16% - 51916
To tal sales invoice amount = line amount + exciseduty = 53586+ 51916

I know excise duty can calucalte only on base amount,(is it sales line amount or purchase line amount)
they are caluclating in different way.
Guys provide help. They are following this calculation according to Indian rules for jobwork. It ‘s killing me. I am in dar with this query . throw powerful light on me.

experts throw u r valuable suggestions
I hope u can provide solution.