What Does co88 Mean?
What Does co88 Mean?
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Basically, CO88 is utilized to settle the wip and variance in the production orders (WIP or variance is determined by the standing of the buy) to your respective receiver G/L Accounts.
Normally, in situations of sales purchase Charge estimate, you will have a valuation approach that is recorded towards the 1st goods receipt for any Generation get that is connected to the profits get.
This credit history would Web the buy right down to your planned variance, or to zero. at the least the harmony over the get.
CO88 is a collective course of action and will settle all get in the plant (or all plants) that have experienced WIP and Variance calculations pocessed.
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Think about the order standing. Should the status has DLV or TECO, the stability about the order will submit to variance. if there is not any DLV nor TECO, co88 then the balance will publish to WIP.
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The actual charges posted to an buy is usually more or less than the worth with which an order was credited when the products receipt was posted. When you agree, this difference between the debit and credit rating in the order is transferred to Financial Accounting (FI).