How can we do Job Work Order in TALLY?

Job work Order is a part of advanced inventory topic. Job Worker receives job / project from principal manufacturer to produce the finished goods. Job work order has details of raw materials which can be supplied from principal manufacture and quantity, rate etc.

ASSIGNMENT ON JOB WORK IN ORDER

  1. Tarak Industries company received a job order from Raaji Mobile Technologies to manufacture 2000no.s of Android mobiles. Order No. Job/R/001. To manufacture 2000no.s of Android Mobiles following raw materials will be supplied by Raaji Mobile Technologies.
s.noName of the item (raw material)QuantityRate
1Antenna2000no.s1000
2Lithium Battery2000no.s500
3Battery charger2000no.s200
4Switch / Key Tip2000no.s1,500
5Central Processing Unit (CPU)2000no.s4,000
6RAM2000no.s2,000
7Visual Display – (LCD)2000no.s2,500
8Antenna Switch2000no.s800
9Hager IC2000no.s650
10VCO (Voltage Control Oscillator)2000no.s1,200
11Audio IC2000no.s2,500
12UEM IC (Universal Energy Module)2000no.s2,600
13LED (Light Emitting Diode)2000no.s1,600
14RF Crystal2000no.s1,200
15Ear Speaker2000no.s1,600
16Microphone2000no.s1,400
17Vibrator Motor2000no.s600
18SIM Card Socket2000no.s1,600
19Memory Card2000no.s800
20External Antenna Socket2000no.s1,500
21RETU IC2000no.s3,000
22TAHVO IC2000no.s1,500
23OMAP Module2000no.s1,600
24Hands Free Connector2000no.s650
25Flash IC2000no.s1,250
26RAP4G IC2000no.s1,600
27USB Connector2000no.s1,680
28Joy Stick2000no.s2,600
29Software Connector Parts2000no.s1,250
30Connector TIP2000no.s1,600
31LTR2000no.s650
32UIM Card2000no.s700

2. Tarak Industries received stock from Raaji mobile technologies against ref no: job/R/001

3. Tarak Industries transferred the following stock to produce 2000no.s of android mobiles, The Job worker is using Transistor, Photo Diode, and Resistor which are own consumption are also transferred to the production floor.
Transistor (Opening balance 4000no.s., Rate:1000 ) – 2000no.s
Photo Diode (Opening balance 6000no.s, Rate:500 ) – 2000no.s
Resistor (Opening balance 3000no.s, Rate: 800) – 2000no.s

4. Tarak Industries manufactured 2000no.s Mobile phones.

5. Tarak Industries delivered the following finished goods to Raaji mobile technologies.
Mobiles – 2000no.s

6. Tarak Industries raised a sales invoice on Raaji mobile technologies for Rs. (Jobwork charge:50,00,000, Cost of material consumed: Rs.46,00,000)

7. Tarak Industries received amount from Raaji mobile technologies against ref no: job/R/001

SOLUTION

STEP: 1

  • Press F11 > Company Features > Press F2 for Inventory Features
  • Maintain Multiple Godowns — YES
  • Enable Job Order Processing — YES
  • Use Material IN and Out Vouchers — YES
  • Use Cost Tracking for Stock Item — YES
  • Accept_YES

STEP: 2

  • Gateway of Tally — Inventory Info — GODOWNS — Create
  • Name: RAW MATERIAL LOCATION — Accept_YES
  • Name: JOB WORK IN LOCATION — Use For Third Party Stock with Us: YES — Accept_YES
  • Name: Finished Goods location — Accept_YES

STEP: 3

  • Gateway of Tally > Inventory Info > Stock Items > Create
  • Now create the Raw Materials (as given in assignment) > Under: Mobile (RM) and Units: No.s
  • Gateway of Tally > Inventory Info > Stock items > Create
    Name: Mobile
    Under: Electronics
    Units: No.s
  • press F12 – Configuration :
    Enable component list details (Bill of Materials): Yes
  • Set Components (BOM): YES
  • Name of BOM: Making of Android Mobiles
  • Unit of Manufacture: 1 no.s
  • Press F12 – Configuration –
    Define Type of Component BOM: YES
  • Now select the components (raw materials)
  • select Godown: Job Work In location
  • Type of Item: Component
  • Quantity : 1 no.s
  • Select the remaining items and enter the quantity each 1pcs
  • press enter
  • ENABLE COST TRACKING: YES
  • ACCEPT_yes

STEP: 4

  • Gateway of Tally > Inventory Info > Stock Items > Create
  • Name: Transistor
    Under: Electronics
    Units: Pcs
    Enable Cost tracking: YES
    Quantity: 4000 no.s
    Godown: Raw Material Location Quantity: 4000 no.s
    Rate: 1,000 no.s
    Accept_Yes
  • Name: Photo Diode
    Under: Electronics
    Units: Pcs
    Enable Cost tracking: YES
    Quantity: 6000 no.s
    Godown: Raw Material Location Quantity: 6000 no.s
    Rate: 500 no.s
    Accept_Yes
  • Name: Resistor
    Under: Electronics
    Units: Pcs
    Enable Cost tracking: YES
    Quantity: 3000 no.s
    Godown: Raw Material Location Quantity: 3000 no.s
    Rate: 500 no.s
    Accept_Yes

STEP: 5

  • Gateway of Tally > Inventory Info > Voucher Types > Create
  • Name: Material In (RM)
  • Select Type of Voucher: Material IN
  • Use for Job Work: YES
  • Use for Job Work: YES
  • Accept – YES
  • Gateway of Tally > Inventory Info > Voucher Types > Create
  • Name : Materiel Out (Transfer / FG)
  • Select Voucher Type: Materiel Out
  • use for job work: Yes
  • Use for Job Work: YES
  • Accept_YES
  • Gateway of Tally > Inventory Info > Voucher Types > Alter > select Stock Journal voucher
  • Name: Manufacturing Journal
  • Select Type of Voucher: Stock Journal
  • Use as a Manufacturing Journal: YES
  • Accept_YES

STEP:6

  • Gateway of Tally > Order Vouchers >
  • ALT + W for Job Work In Order
  • Party A/c Name: Raaji Mobile Technologies
    Under: Sundry Creditors –
    Maintain Balances Bill By Bill: YES
    Accept_Yes
  • Despatch Details:
    Despatched Through: VAN
    Destination: Rajam
    Mode / Terms of Payment: Single
  • Process Instruction:
    Duration of Process: 20 days
    Nature of Processing: Making of Android Mobiles
  • Party Details:
    Consignee: Raaji mobile technologies
    Address: Dwaraka Nagar, Visakhapatnam
    PRESS ENTER
  • Order No: JOB / R/ 001
  • Name of Item: Mobile
  • Track Components: YES
  • Godown: Job Work In Location
  • Quantity : 2,000no.s
  • Fill Components Using: Making of Android Mobiles
  • Now select the track “PENDING TO RECEIVE” for every item
  • Select Godown “JOB WORK IN LOCATION”
  • Rate: Specify the Rate for each item as given in the assignment
  • After this process, COST TRACKING TO: job / r/ 001
  • Press Enter
  • Press F11 — F2 for inventory Features —
    ENABLE ZERO VALUED TRANSACTIONS: YES
  • Press Enter_ACCEPT-YES (TOTAL VOUCHER)

STEP : 7

  • Gateway of Tally > Inventory Vouchers > Ctrl + W for Material IN
  • Select Material IN (RM) — Press Enter
  • Reference no: ch/rm001
  • Party’s A/c Name: Raaji mobile technologies
  • Order No: Job / R/ 001
  • Enter the Order Details and Party Document details and Party’s Details
  • Source Godown: Not Applicable
  • Now automatically items fill
  • press enter — ACCEPT THE VOUCHER

STEP: 8

  • Gateway of Tally > Inventory Vouchers > CTRL + J for Material Out Voucher
  • Select Material Out (FG/ Transfer) voucher class > press enter
  • Party’s A/c Name: Raaji Mobile Technologies (Press Enter)
    Order No: End of List
    Destination Godown: Job Work In Location
  • Name of Item: Transistor
    Order No: Not Applicable
    Godown: Raw material Location
    Quantity: 2,000
    Rate: 1,000
    Cost Tracking To: Job/R/001
  • Name of Item: Photo Diode
    Order No: Not Applicable
    Godown: Raw material Location
    Quantity : 2,000
    Rate: 500
    Cost Tracking To: Job/R/001
  • Name of Item: Resistor
    Order No: Not Applicable
    Godown: Raw material Location
    Quantity : 2,000
    Rate: 800
    Cost Tracking To: Job/R/001
  • ACCEPT_YES

STEP: 9

  • Gateway of Tally > Inventory Vouchers >
  • Press ALT + F7 for Stock Journal
  • Select “Manufacturing Journal” Voucher class — Press Enter
  • Name of Product: Mobile
  • Name of BOM: Making of Android Mobiles
  • Godown: Finished Goods Location
  • Qty: 2,000no.s
  • Cost Tracking no: Job/R/001
  • automatically fills the total stock items (raw materials)
  • Accept the total Voucher

STEP: 10

  • Gateway of Tally > Inventory Vouchers >
  • Press CTRL + J for Material Out Voucher
  • Select Material Out (Transfer / FG)
  • Reference No: Ch/RT/002
  • Party’s A/c Name: Raaji Mobile Technologies
  • Order No: Job / R / 001 (Press Enter)
  • Destination Godown: Not Applicable
  • Name of Item: Mobile (Automatically fills) (Press Enter)
  • Order No: Job / R/ 001
  • Godown: Finished Goods Location
  • Quantity: 2,000no.s (automatically fills)
  • Rate: 47,830 (automatically fills)
  • Cost Tracking to: Job/R/001
  • End of List
  • ACCEPT THE VOUCHER

STEP:11

  • Gateway of Tally > Accounting Vouchers >
  • Press F8 for sales Voucher
  • Press ALT + I For ACCOUNTS INVOICE
  • Reference No: Sal/RMT/001
  • Party’s A/c Name: Raaji Mobile Technologies
  • Particulars: ALT + C –
    Name: Job work Charge
    Under: Direct Incomes
    Allow cost allocation: (Stock Item): Yes
    Accept_YES
  • Amount : 96,00,000
  • STOCK ITEM COST ALLOCATIONS FOR: JOB WORK CHARGE

    Cost Track to : Job / R/ 001
    Item name: Mobile
    Quantity : 2,000
    Rate: 2,500
    Amount : 50,000,00

    Cost Track to : Job / R/ 001
    Item name: Transistor
    Quantity : 2,000
    Rate: 1,000
    Amount : 20,00,000

    Cost Track to : Job / R/ 001
    Item name: Photo Diode
    Quantity : 2,000
    Rate: 500
    Amount : 10,00,000

    Cost Track to : Job / R/ 001
    Item name: Resistor
    Quantity : 2,000
    Rate: 800
    Amount : 16,00,000

Now press Enter > Select New Ref > Sal/RMT/001 > 96,00,000 > Accept_Yes

STEP: 12

  • Press F6 for Receipt Voucher
  • Account : SBI
  • Particulars : Raaji Mobile Technologies
  • Agst Ref : Sal/Rmt/001
  • Amount : 96,00,000
  • Press Enter > Accept – Yes
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