subcontract

[Former Member]

Dear Friends,

I Have issued child material material to subcontractor to convert in to semi finish materil, While material in transit one perticular component got damege, Please some tell me how to account the damage componet

[pankaj_singh9]

Hi,

As you said that material got damaged when it was in transit means it is due to mishandling of material during Transportation. So the cost will be bared by you.

When you had transferred material to Vendor, it was done via 541 in MB1B. Now receive the material in own stock from Subcontracting Stock by 542 in MB1B. (Here No FI entry)

Then go to MIGO - Goods Issue > Others (movement type - 551) and issue material to Cost Center

(BSX) Stock A/c of Component - Cr

(GBB-VNG) Scrapping Expenses - Dr

Now Receive scrap material in MIGO - Goods Receipt > Others (movement type - 552) and receive material from Cost Center

(BSX) Stock A/c of Scrap matl. - Dr

(GBB-VNG) Scrapping Expenses - Cr

[kunal_ingale]

hi

if it is vendors responsibility

then

do not do the gr for that component so it will show that that component is with the subcontractor

if the responsibility is urs then do the full gr and make that quantity to scrap with 651 movement

or if it will be repairable then again make po for sub con and send it back to subcontractor

regards

kunal

award if helpful