When entering scrap quantities during a labor step there should be an option to generate scrap postings in the GL for these entries. The entry to scrap would be the material required and labor required to product one unit of product up to and including that LABOR step.
A scrap GL account at the operation should be indentifiable to capture these dollars. Currently all of this activity is captured in variances during the close.
by: James S. | over a year ago | 2 - Manufacturing
Comments
There should be two material scrap types, scrap for return to a scrap bin and scrap issue to scrap gl account