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Just imagine, you received an order of 100 QTY FG.   

20 qty out of 100 scrapped after MO completion. 

Want to deliver 100 qty to the customer, do I have to create a new MO for the remaining 20 qty?

Note : Enabled MTO

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You can scap items during the MO. It will keep the needed amount running. For ex. you scrap the first 20qty, it will show that you need to manufacture the whole 100qty. Counting stops when you hit done and then you decide will you create a new MO (backorder) or end the MO with less amount than 100qty.

-> scrap will use the items/materials from the stock and also quantities which are "done".

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