WIP automatically creates resource transactions at the standard or actual rate for all outside processing resources with an charge type of PO Receipt or PO Move when you receive assemblies from an outside processing operation back into WIP, using the Enter Receipts window in Purchasing. For outside processing resources with an charge type of PO Move, WIP also performs a move of the assemblies from the queue or run intraoperation step of your outside processing operation into the queue intraoperation step of your next operation or into the to move intraoperation step if the outside processing operation is the last operation on your routing.

If you assigned internal resources to an outside operation with an charge type of manual, then use the Move Transactions window or the Open Resource Transaction Interface to charges these resources. If you return assemblies to the supplier, then WIP automatically reverses the charges to all automatic resources associated with the operation. You must manually reverse all manual resource charges using the Move Transactions window.

For outside processing resources with an charge type of PO Move, WIP automatically moves the assemblies from the queue intraoperation step of the operation immediately following the outside processing operation into the queue intraoperation step of your outside processing operation.

If the outside processing operation is the last operation on your routing, then WIP automatically moves the assemblies from the to move intraoperation step to the queue intraoperation step. WIP applies PO Move resource transactions to multiple repetitive schedules on a line based on how the assemblies being moved are allocated. WIP allocates moves across multiple repetitive schedules based on a first in, first out basis. WIP applies PO Receipt resource transactions to the first open  repetitive schedule on the line.

Costing Outside Processing Charges at Standard
When you receive the assembly from the supplier, Purchasing sends the resource charges to WIP at either standard cost or actual purchase order price, depending upon how you specified the standard rate for the outside processing resource.
If the Standard Rates option is enabled for the outside processing resource being charged, then the application charges WIP at the standard rate and creates a purchase price variance for the difference between the standard rate and the purchase order price. Here are the accounting entries for outside processing items:

Account                                                                                  Debit        Credit
WIP accounting class outside processing valuation account               XX              -

Any quantity or usage difference is recognized as an outside processing efficiency variance at period close.
The accounting entries for return to supplier for outside processing are:

Account                                                                 Debit           Credit
Organization Receiving account                                   XX                 -
  Purchase price variance   account
  (Debit when actual rate is less than
  the standard rate. Credit when the                           XX               XX
  actual rate is greater than the standard
  rate.)
   WIP accounting class outside processing valuation      -                 XX
   account

Costing Outside Processing Charges at Actual Purchase Order Price
If the Standard Rates option is disabled for the outside processing resource being charged, then the system charges WIP the purchase order price and does not create a purchase price variance.
Here are the accounting transactions for outside processing charges at purchase order price:

Account                                                                 Debit           Credit
WIP accounting class outside processing                       XX                 -
valuation account
         Organization Receiving account                            -                  XX

Any difference from the standard is recognized as a resource efficiency variance at period close.