Select this to indicate that the activity produces finished products, or products at the BOM level, and that the product ...

Select this to indicate that the activity produces finished products, or products at the BOM level, and that the product receipt is registered in inventory. If you select this, the value of the finished product is moved out of the production flow at standard cost. If this is not selected, the value of the received product remains in the WIP of the related production flow. The value is moved out of the WIP when the product is transferred or consumed by the next activity in the production flow.
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