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.no Name of the item (raw material) Quantity Rate
1 Antenna 2000no.s 1000
2 Lithium Battery 2000no.s 500
3 Battery charger 2000no.s 200
4 Switch / Key Tip 2000no.s 1,500
5 Central Processing Unit (CPU) 2000no.s 4,000
6 RAM 2000no.s 2,000
7 Visual Display – (LCD) 2000no.s 2,500
8 Antenna Switch 2000no.s 800
9 Hager IC 2000no.s 650
10 VCO (Voltage Control Oscillator) 2000no.s 1,200
11 Audio IC 2000no.s 2,500
12 UEM IC (Universal Energy Module) 2000no.s 2,600
13 LED (Light Emitting Diode) 2000no.s 1,600
14 RF Crystal 2000no.s 1,200
15 Ear Speaker 2000no.s 1,600
16 Microphone 2000no.s 1,400
17 Vibrator Motor 2000no.s 600
18 SIM Card Socket 2000no.s 1,600
19 Memory Card 2000no.s 800
20 External Antenna Socket 2000no.s 1,500
21 RETU IC 2000no.s 3,000
22 TAHVO IC 2000no.s 1,500
23 OMAP Module 2000no.s 1,600
24 Hands Free Connector 2000no.s 650
25 Flash IC 2000no.s 1,250
26 RAP4G IC 2000no.s 1,600
27 USB Connector 2000no.s 1,680
28 Joy Stick 2000no.s 2,600
29 Software Connector Parts 2000no.s 1,250
30 Connector TIP 2000no.s 1,600
31 LTR 2000no.s 650
32 UIM Card 2000no.s 700
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: 800 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