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Former Member
Nov 09, 2012 at 05:51 AM

variance favourable/unfavourable during settlement

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Hi,

Say only material for simplicity sake.

Goods issued against production order $1000 and goods receipt against production order $900.

During goods issue

Dr consumption $1000

Cr raw material $1000

1 May I know GR is only happened during settlement of production order co88 or even before settlement? Why i ask is because of the variance. As i know variance only calculated during settlement.

2 May i know what is the double entry during settlement if GI $1000 and GR $900

Thanks