Recording Manufacturing Journal Voucher

To create a manufacturing journal

1.     Go to Gateway of Tally > Inventory Vouchers > F7: Stk Jrnl.

2.     Select the manufacturing journal.

3.     Select the product which needs to be manufactured in the Name of product field.

4.     Select the bill of material in the Name of BOM field. The components used to manufacture the finished goods appears automatically.

5.     Select the godown where the finished goods is stored in the Godown field.

6.     Enter the quantity of the product to be produced in the Quantity field. The percentage of cost of allocation to the primary item manufactured is displayed in the % of Cost allocation field.

Note: Click here for more information to create a manufacturing voucher type.

Click here for more information to create BOM.

In the manufacturing process if there are no Co-Products/By-Products/Scrap produced then the % of Cost allocation will be 100%.

If there are any Co-Products/By-Products/Scrap produced then the % of Cost of allocation to primary item = Total cost – Cost allocated to co-product/by-product/scrap.

7.     Enter the batch name, manufacturing date and expiry date in Batch Name, Mfg Date, Expiry fields, if the item to be manufactured in batches.

Components (Consumption)

The list of component used to produce the finished goods is selected here.

8.     Select the components used for the manufacture of finished goods in Name of Item field.

  Rejections Out Voucher (Purchase Returns) in Tally ERP 9

9.     Select the godown from where the components are consumed for production in the Godown field.

10.  Enter the quantity of the raw materials required to manufacture the finished goods in the Quantity field.

11.  Enter the rate (purchase cost) of the raw materials used in the manufacture of finished goods in the Rate field.

12.  The amount is calculated automatically based on Quantity and Rate of item and displayed in the Amount field.

Note: If bill of material is selected in the Name of BOM field, the components used for the manufacture of finished goods and the Co-Products/ By-Products /Scrap produced during manufacturing is displayed automatically.

Co-Products/By-Products/Scrap

The list of Co-Products/By-Products/Scrap produced during the manufacture of finished goods is selected here.

13.  Select the Co-Products/By-Products/Scrap name which is produced in the process of manufacture of finished goods in the Name of Itemfield.

14.   Select the godown where the Co-Products/By-Products/Scrap is stored in the Godown field.

15.  Enter the percentage of cost allotted towards the Co-Products/By-Products/Scrap produced in the % of Cost Allocation field.

16.   Enter the quantity of Co-Products/By-Products/Scrap produced in the Quantity field.

17.  The rate of the Co-Products/By-Products/Scrap is displayed automatically in the Rate field. (Rate = Amount/Quantity).

18.  The amount is displayed automatically based on the % of Cost Allocation defined for the Co-Products/By-Products/Scrap produced in theAmount field. (Amount = Effective Cost x % of Cost Allocation).

  Rejections In Voucher (Sales Returns) in Tally ERP 9

19.  The total cost of the components (raw materials) used in the manufacture of finished goods is displayed in the Cost of Components field.

20.  Enter the additional cost incurred for manufacturing the finished goods, if any in the Type of Additional Cost field.

21.  The total of all additional cost is displayed in the Type of Additional Cost field.

22.  The total of Cost of components + Type of Additional Cost incurred to manufacture the finished goods and Co-Products/By-Products/Scrap is displayed in the Effective Cost field.

23.  The cost allocated to manufacture the primary item is displayed in Allocation to Primary Item field. (Allocation to Primary Item = Effective Cost – Total cost of co-products/by-products/scrap).

24.  The cost of the primary item manufactured (finished item) is displayed in Effective rate of primary item field. (Effective Rate of Primary Item = Allocation to Primary Item/quantity of the primary item).

The manufacturing journal appears as shown below:

Manufacturing journal

25.  Enter Narration, if required.

26.  Press Enter to save.

Manufacture of Finished Goods without By-Product/Co-Product/Scrap

In some manufacturing processes, only finished goods is produced without any Co-Products/By-Products/Scrap. In these scenario the cursor can skip the Co-Products/By-Products/Scrap section.

To skip the Co-Products/By-Products/Scrap section

1.     Go to Gateway of Tally > Inventory Vouchers > F7: Stk Jrnl > select manufacturing journal.

2.     Click F12: Configure.

3.     Set the option Skip Co-Product/By-Product/Scrap Stock Item to Yes. The stock journal configuration screen appears as shown below:

  Using Inventory Allocations

Stock journal configuration

4.     Press Ctrl+A to accept.

Note: When the option Skip Co-Product/By-Product/Scrap Stock Item is set to Yes, and while recording a manufacturing journal for a stock item for which the BoM is created by capturing the details of Co-Products/ By-Products /Scrap; then the configuration is ignored and the details of Co-Products/ By-Products /Scrap are captured. You can also modify the details in Co-Products/By-Products/Scrap section.

Rate this post

Share this post

Post Comment