When posting the assembly, a transfer from the WIP account of the assembly to the stock account of the assembly is performed.
The valued price of the assembly is posted, rather than the sum in the WIP account. The difference in the amount is then transferred, using a separate journal entry from all WIP accounts that have received postings to the WIP difference account of the assembly.
Normally, only the material costs are in the WIP account. However, the calculation objects or time types can be used to define whether other costs, such as manufacturing costs, overheads, or other surcharges are also posted to the WIP account. In this case, a more precise differentiation of the incurred costs is possible at account level, and the difference amount transferred to the WIP difference account is lower.
The evaluation of the assembly can be configured.
A valuation at planned costs, actually accumulated costs, a mixture of both, or at pre-calculated values stored in price lists can be configured.
The evaluation method that is most useful, depends on a lot of factors factors and must be analyzed accordingly.
Important: It is not the evaluation of the work order, but the real value of the assembly that must be posted.
Also see: Valuation of the assembly
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