Hi,
in Prod order there are 2 possibilities based on your configuration.
1. Production Order Linked to Product Cost Collector, means yo want collect the costs by product rather than by production. Usually use in repetitive mfg, where settlement will done periodically.
2. Production Orders as Cost Objects in Product Cost by Order, means all cost happen in production will calculate per order, and letter need to settle. usually used in discrete mfg..