I am confused about the functionality of the "reject" setting in Receipt From Production. It would seem that a rejected quantity is not going to be added to stock, but in fact, the system seems to treat it exactly like a completed quantity and adds it into the warehouse inventory.
We are trying to account for wasted quantities during a processing operation. For example, I send 1,000 pounds of material to be plated, but only 950 pounds of the finished item are returned. However, my plating costs are the same as if the full quantity was complete. If I enter a Receipt from Production for 950 pounds completed, the processing cost is not correct. If I enter 950 pounds completed and 50 pounds rejected, the processing cost is right, but 950 + 50 pounds are added to inventory. Does anyone have any explanations or suggestions?
Thanks to all.