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Re: Cost settlement of production orders

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Hi Suhant

 

Actually co-product concept is used when all the products are mandatory to be produced in the process means you can't avoid any product to produce. Basically in chemical industry or in a tar industry when you process any chemical some co-products with main product will be produced and thats why this apportionment structure is used.

 

In your case it is not that type of process..so you could make it By-product method of process instead of co-product. Then this could be avoided.

 

 

 

Kamal


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