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Closed Production Order - Excess Produced on OP ID 1

  • 1 September 2022
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M
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Hi all - I’ve run into a situation I am hoping someone can provide insight / a solution for. We had a production order (RO A) for quantity 4. Welding completed OP ID 10 for quantity 10 (they built 6 over). Assembly processed RO OP ID 20 and 30 for quantity 4 and then RO A was closed. 

The cost of the 6 extra welded parts were rolled into that of the 4 completed parts. Is there a way to reopen a production order to complete OP ID 20 and 30 for the remaining 6?

Any advice is appreciated - thanks! 

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Best answer by cwise52 1 September 2022, 14:11

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C
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Hi Mpowell,

 

What is the costing method the finished part?

M
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Hi @cwise52 - it is Estimated

C
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I would create a new order for the missing 6. Edit the production order and remove anything  that has already been transacted (Material and Labor) Process the order at the reduced cost to offset the cost of the 4 in inventory. This works very well with average. It works with Fifo but you still have wonky layers. It also works with standard as a reversing variance entry is made in MFG variances.

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@cwise52 that’s what I’ll do! Thanks

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@mpowell My pleasure. Good luck.

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