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How the production Posting - RAF hits the GL and product costing
Hi Sriram,
Can you elaborate? Do you want to learn how to setup the ledger accounts or do you want to know which type of ledger transactions will be generated by AX?
It is configuration of when or even if depending upon what you require, do you have a more specific question? Otherwise the answer is it hits the GL and product costing at the point you have configured it to with the values, for example you have the ability to post the actual or estimated at RAF, but ultimately the known cost is posted when the order is ended, if of course you have configured it to post those transactions to the ledger!
RAF as report as finished is the physical update of the item in the production order. Both costs and quantity of the finished goods are updated on this.
Partial quantities of the originally planned order quantity can be reported as finished. You don't need to end your production order every time a finished good is produced. Due to this reason inventory is available physically, you can sale it, store it, issue it in an another batch order, even dump it.
So on production costing, once you end your production order the report as finished value in the GL is reversed and actual inventory accounts are charged. There would be no change of transaction on inventory only the cost would be updated from physical to financial. This can vary according to the inventory costing method you are using.
For more information on Report as finished & production costing see https://docs.microsoft.com/en-us/dynamics365/supply-chain/production-control/report-production-orders-as-finished
Please mark YES against the answer that helps you. Thanks
Regards,
Zain
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