You produce 100 total units of finished goods. The amount of material used to produce the goods is the equivalent amount of material needed to produce 105 finished goods.
The company must track variances in material compared to the original estimated amount. You must only use one picking list journal for each production order.
You need to post a picking list that accounts for the material required to produce 105 finished goods.
What should you do?
To post a picking list that accounts for the material required to produce 105 finished goods, you should select the estimated consumption option when creating the picking list lines and override the consumption field with the actual amount to be consumed. This approach allows you to account for the actual material used, which is necessary to track variances in material compared to the original estimated amount properly, all while using a single picking list journal for the production order.
Any confirmations?
D is correct. When you have the stimated values when generating the Picking List, both proposal and consumption fields have the same value, you just change the consumption field and post it. Then you can analyze the variance in the cost.
Agree - D is correct.
Correct