diff --git a/erpnext/stock/doctype/stock_entry/stock_entry.py b/erpnext/stock/doctype/stock_entry/stock_entry.py
index ebfa7269912..d601dc093b8 100644
--- a/erpnext/stock/doctype/stock_entry/stock_entry.py
+++ b/erpnext/stock/doctype/stock_entry/stock_entry.py
@@ -2648,7 +2648,7 @@ class StockEntry(StockController):
 			self.process_loss_qty = flt(
 				(flt(self.fg_completed_qty) * flt(self.process_loss_percentage)) / 100
 			)
-		elif self.process_loss_qty and not self.process_loss_percentage:
+		elif self.process_loss_qty and self.fg_completed_qty:
 			self.process_loss_percentage = flt(
 				(flt(self.process_loss_qty) / flt(self.fg_completed_qty)) * 100
 			)
diff --git a/erpnext/stock/doctype/stock_entry/test_stock_entry.py b/erpnext/stock/doctype/stock_entry/test_stock_entry.py
index ea231ff466c..29e92986563 100644
--- a/erpnext/stock/doctype/stock_entry/test_stock_entry.py
+++ b/erpnext/stock/doctype/stock_entry/test_stock_entry.py
@@ -2730,7 +2730,60 @@ class TestStockEntry(FrappeTestCase):
 		frappe.delete_doc("Document Naming Rule", qc_naming_rule.name)
 
 
+<<<<<<< HEAD
 def make_serialized_item(**args):
+=======
+		frappe.set_value("UOM", "Nos", "must_be_whole_number", 0)
+
+		fg_item = make_item("FG Item", properties={"is_stock_item": 1}).name
+		rm_item = make_item("RM Item", properties={"is_stock_item": 1}).name
+		scrap_item = make_item("Scrap Item", properties={"is_stock_item": 1}).name
+		warehouse = "_Test Warehouse - _TC"
+		make_stock_entry(item_code=rm_item, target=warehouse, qty=5, rate=10, purpose="Material Receipt")
+
+		bom_no = make_bom(
+			item=fg_item, raw_materials=[rm_item], scrap_items=[scrap_item], process_loss_percentage=10
+		).name
+		se = make_stock_entry(item_code=fg_item, qty=5, purpose="Manufacture", do_not_save=True)
+		se.from_bom = 1
+		se.bom_no = bom_no
+		se.fg_completed_qty = 5
+		se.from_warehouse = warehouse
+		se.to_warehouse = "_Test Warehouse 1 - _TC"
+		se.get_items()
+		se.save()
+		se.reload()
+
+		self.assertEqual(se.items[1].qty, 4.5)
+		self.assertEqual(se.items[1].amount, 45)
+		self.assertEqual(se.items[2].qty, 4.5)
+		self.assertEqual(se.items[2].amount, 5)
+
+	def test_process_loss_percentage_resyncs_from_qty(self):
+		# changing fg qty recomputes process_loss_qty
+		se = frappe.new_doc("Stock Entry")
+		se.purpose = "Manufacture"
+		se.fg_completed_qty = 200
+		se.process_loss_qty = 100
+		se.process_loss_percentage = 80
+
+		se.set_process_loss_qty()
+
+		self.assertEqual(se.process_loss_percentage, 50)
+
+	def test_process_loss_qty_derived_from_percentage_when_qty_blank(self):
+		se = frappe.new_doc("Stock Entry")
+		se.purpose = "Manufacture"
+		se.fg_completed_qty = 200
+		se.process_loss_percentage = 25
+
+		se.set_process_loss_qty()
+
+		self.assertEqual(se.process_loss_qty, 50)
+
+
+def make_serialized_item(self, **args):
+>>>>>>> beeffee8f9 (fix: sync process loss percentage when fg qty changes)
 	args = frappe._dict(args)
 	se = frappe.copy_doc(test_records[0])