You can include additional costs, such as labor, machinery and overheads in the Production Order. To do this, include the freight as non-inventory items in the Bill of Materials (BOM). You can do this in both perpetual inventory and non-perpetual inventory systems.
Caution
If you have installed a patch, or upgraded SAP Business One, and the non-inventory item does not have an associated WIP account, when you open a Receipt from Production window the system displays an error message. To solve this, open the Production window and choose Update.
Set the Item to Non-Inventory.
Choose
, and deselect Inventory Item.Set the Valuation Method to Standard (for perpetual inventory only).
Choose
, select the Inventory Data tab, and in the Valuation Method field, select Standard.Defined Expense, WIP Material, and WIP Variance accounts (for perpetual inventory only).
Choose
tab.Defined the Standard Cost for the Item (for perpetual inventory only).
Choose
, select the Inventory Data tab and in the Item Cost field, specify the cost.Defined the Issue Method as Backflush.
Choose
, select the General tab and in the Issue Method field, select Backflush.Note
Non-inventory items must use the backflush issue method.
Add the non inventory item to the BOM.
For more information, see Defining Bill of Materials (BOMs).
You can change the required additional costs value by changing the value in the Planned field.
You can set the price for the non-inventory item (for non-perpetual inventory only)
Note
A non-inventory item cannot be a by-product.
The Item WIP Material account is copied to the production order and cannot be changed.
Note
A subsequent change to the WIP Material account does not influence the production order.
The expense account is taken from the Expense Account field on the Warehouse tab.