I have a parent part that has one material component and one outside operation purchased as a service item using a labor code.
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When I purchase the service type item using the PO generated by the work order, it correctly debits WIP Labor upon PO receipt into stock.
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When I perform MO receipt entry, on the component issue portion of the transaction, the system correctly flushes the material component out of my Inventory - Raw Material account and debits WIP Material.
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However, on the parent receipt, instead crediting a combination of WIP Material and WIP Labor, it is flushing the entire rolled finished goods value (raw material cost + outside labor cost) from WIP Material only and debiting Inventory Material only, leaving a dangling debit balance in WIP Labor and overloading Inventory Material by the value of the outsource labor.
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When I ship the item against a sales order the system correctly backflushes the material portion of the cost from Inventory Material (which got overloaded by the work order parent item receipt), and the outsourced labor cost from Inventory Labor (which never got correctly loaded) leaving a dangling debit balance in Inventory Material and a credit balance in Inventory Labor.
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The shipment correctly debits the COGS Material and COGS Labor accounts for the value of the component and outsourced labor respectively.
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The culprit seems to be the issue of the finished good on the work order which is failing to credit the outsourced labor from WIP Labor, and failing to debit it to Inventory Labor--it's all going to material.
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Outsourcing expenses are configured to use the Labor cost bucket and the cost roll on the finished goods item correctly shows the outsouced cost in the labor bucket.
Gah, I've gone cross-eyed picking through this. Any help is greatly appreciated.
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