Explain the subcontracting Flow in details which includes
the Account which gets Hit & the explanation of each
Account Hit...I was not able to answer in details but
explained the flow.
Answer / rishi
We create the PO with item category L and issue/transfer the components to the Service Vendor with 541 movement type. At the time of GI no accounting document gets generated.
We have to do the GR with reference to the PO with 101 movement type. The movement type for the finished goods is 101 and if we click on it it shows the list of components issued to the vendor with 543 movement type. At the time of GR accounting document gets generated and the accounting entries are as below:
Finished Goods A/c BSX Dr
Change in Stock A/c BSV Cr
Purchase Services A/c FRL Dr
GR/IR A/c WRX Cr
Consumption A/c GBB VBO Dr
Inventory Raw material A/c BSX Cr
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