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Sub-production order

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Now I have a requirement like this, I have a BOM which contains a sub BOM, suppose I have 20 sub-product in the inventory, and I create a production order for producing 100 top level BOM, the automatically generated production order should contains only 80 items,cause I have 20 inventory. how should I configure the BOM, do I have to use the pegged-supply, or item, is there any additional setting I have to do?

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