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job work process

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Dear experts

our client has job work process which he does in two ways.

1. he receives raw material from customer and does production activities and deliver the final product to the customer

and bills service charges(entire material used in production will be of customer only)

.

2.he receives raw material from customer and does production activities. along with the customer raw material he is using his own material also

to produce final product.

here for the material he used he want to bill the customer with excise and for the customer material he want to bill service charges.

please guide me how to configure both these scenarios.

what material types should be used,what would be the item category group and item category .

which material to be created as non valuated and which one to be created as valuated

in same sales order can i include both the materials and do separate billings for service and tax invoice.

what would be the accounting impact.

please guide

regards

AJITH


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