You have finished a production lot for the production of a main product A and a by-product B.
For both products the perpetual cost method Moving Average is maintained.
After executing the WIP Clearing Run you notice that the run updated the cost rate of the production lots main product but not of the by-product.
Reproducing the Issue
- In the Inventory Valuation workcenter navigate to the Periodic Tasks - WIP Clearing view.
- Highlight the line of the respective run XYZ and press View to open the Log result.
- Navigate to the Processed Successfully tab.
- Here there are only postings displayed for main product A but not for the By-product B.
This is standard ByDesign system behaviour. The WIP Clearing run only considers inventories from a lot that are maintained as main output materials.
- By-products resulting from the process of producing a main product are not considered a company's object and are therefore not included in the SCM planning process.
- There are no production variance calculations needed here.
- For such by-products a standard cost rate rather than a moving average cost rate should be maintained in the inventory accounting data.
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