Prodcut GL control - Variance

[ZanebK]

I’ve been looking to understand the same.

I did see these posts, which were useful for labour variances:

How to remove Manufacturing Variances. Looking for a workaround

Brooke, Labor cost variances happen a two different ways: Labor $ rate variances: Resource Group or Resource labor rates are used as estimates. Employee labor rates are used as actuals. If these two rates are not aligned this will create a labor cost variance. It is easy to forget to add the labor rate to the employee when new ones are setup. Labor time variances: The method operation time per piece versus the actual job operation time entered will also cause a variance. One way to eliminate …

How to remove Manufacturing Variances. Looking for a workaround

If you are 100% Average, then “normally” you should not see any variance IF all the transactions happen in the correct order: Job created Mtl Issued/Labor Reported Job received to stock at cost of all Mtl issued/labor reported in step two Job Closed - no balance in wip, no variance BUT… where you can get into trouble is if you dont complete things in the correct order Job created for 100 pieces $100 materials issued, $200 labor charged ($300 in wip) Receive 80 to stock - this moves $240 fr…