Subcontracting Accounting Calculation

Hi,

I am having some confusion about the subcontracting GR accounting, As per my understanding:

FG stock = consumption of RM+PM + Subcontracting charge (GR/IR)+ price difference (if any)

But i am getting the below entries, where the above equation is not matching.

• BSX 89 ST Finished Material 30.25
• WRX 96 GR/IR Finished good 40.00-
• BSV 50 CIS Subcontracting 30.25-
• FRL 86 Sub Contracting Exp 40
• BSX 99 ST Raw Material 1.25-
• GBB 81 Consumption Raw Mat. 1.25
• BSX 99 ST Packing Material 5.00-
• GBB 81 CON Packag Material 5
• BSX 99 ST Packing Material 4.00-
• GBB 81 CON Packag Material 4

So in above consumption of material = 10.25 and GR/IR for vendor = 40 and FG stock debit = 30.25,

FG price is taking from FG standard cost and GR/IR taking from PO Net value. and no Price difference account hit.

Let me know what would be an accurate accounting entry and what needs to be done for that.

Thanks

RAIM