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Double entries of Manufacturing

1. When consume Raw materials

WIP Acc( Inventory category-Currunt asset) Debit

Raw-Mat Acc (Inv. cat--Currunt asset) Credit

2. When consume Capacity ( Ex: Labour)

Labour Payable Acc ( Liability Acc) * Credit

WIP Acc( Inventory category-Currunt asset) Debit

3. FG add to inventory (Finish production process)

WIP Acc( Inventory category-Currunt asset) Credit

FG inv Acc(Currunt asset) Debit

4. At the payment of labour salary ;

Labour payable acc(liability category) * Debit

Cash or Bank Acc ( currunt asset) Credit

NOTE:-

1. If there is any deference(net change of the period) in Labour payable Acc. * It will charge to the manufacturing expense account,

as an Over/Under absorption in manufacturing cost.

2. Item cost already added now on FG item. When its sales through the COGS account it will charge to the profit & loss Acc.

****Please verify above account scenario****

Is there any additions manufacturing double entries please comment below.

Thanks in Advanced.

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Double entries of Manufacturing