HomeInventory Voucher

Manufacturing journal& preperation of manufacturing voucher examples

Like Tweet Pin it Share Share Email

Creation of Bill of material was the subject of previous lesson, which is essential for entering a manufacturing transaction? In tally entering a manufacturing transaction we use “manufacturing journal”.

Before entering a manufacturing journal there must be a manufacturing voucher, let’s see how this can be created.

Step 1

How to create manufacturing voucher?

Go to

Gateway of Tally>>Accounts info>>Voucher Types>>Create

In the voucher type creation screen fill up the field as follows.

Name: Manufacturing Journal

Type of voucher: Stock Journal

Use as a manufacturing journal: Yes (this is very important)

manufactoring-voucer

Press Enter Key or use Short cut Ctrl+A to save the voucher

Step 2

Creating Bill of material, this is the pre defined set of component required for manufacturing product.  To know how to create bill of material go here.

Step 3

Create Expense ledger for additional manufacturing cost like stitching charges.

Step4

Now let’s enter manufacturing transaction.

We are using the following examples to learn manufacturing journal.

IN A GARMENT FACTORY

A garment factory manufacture 500 Shirts /per day

The material required Per Piece is

Raw materials ( Components) Quantity
Cloth 2 Meter
Buttons 8 Nos
Thread 1 Roll
Additional cost  
Stitching charges 10% on total cost

 

Go to

Gateway of Tally >>Inventory Vouchers>>

Press Alt + F7 or click on Stk Jrnl button. In the voucher type selection screen select Manufacturing journal and fill the field required

access-manufacturing-journal

Name of product:  Shirt

On selecting the finished product (SHIRT) the raw material/component and godown name will be selected automatically under components.

BoM Name:Shirt 40”. Select the Bill of material from the list if there is only one BOM that will select automatically.

Godown : The godown in which the finished goods are stored

Qty: The number of units manufacturing. Here it is 500

Now the name of item, godown, and quantity filled automatically after entering above items

Enter rate of each item, the rate should be the cost of material or purchase price.

As there is no by product in this manufacturing, Leave blank Co-Product /By-Product/Scrap

In the bottom, Just under cost of components enter additional cost, here we have created stitching charges ledger. Select it and type the percentage 10%, the additional cost will be calculated automatically.

Finally Enter Narration if any, and save the voucher

 

manufacturing-journal-final

So the Components are converted in to finished product, while verifying the stock item you will understand that the stocks of raw materials have decreased and finished goods have increased.

Manufacturing Journal with by product

In some manufacturing process, we will get by products or scrap. Learn this with the following example

Raw materials ( Components) Quantity Rate
Cloth 2 Meter 150/Mtr
Buttons 8 Nos 1/No
Thread 1 Roll 4/No
By product  
Kerchief 1 No
Additional cost    
Stitching charges 12% on total cost

 

Create a Bill of material with item Kerchief; you can learn this here under heading BOM with material.

Enter details as shown in the images and save.

manufacturing-journal-with-byproduct

 

Comments (5)

  • I purchased raw meterial and payment to, on NEFT

    Reply
    • F5 Voucher (Payment)
      Debit Purchases Raw materail A/c
      Credit Bank A/c
      in electronic Cheque mode of payment

      Reply
  • i paid for internet charge so how it will be recorded in expenses. its expenses of office..

    Reply
  • thanks for the posting of manufacturing journal, help me a lot, but i am stuck at a point now

    when i add additional charges to it, it doesn’t reflect it in P&l a/c under direct expenses

    Reply
  • If sell products after value addition. How to show it on tally
    Eg : I purchase silver 100gms for 4000
    I then convert it to a silver chain and then sale
    Eg I sell silver chain for of 100gms for 4200+making charge 500 = 4700
    How to show this making charge in the tally sales invoice? And how to create the ledger of making charge

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

shares
error: Content is protected !!