Description
Make sure that the PO line is checked for landed cost.
This information defaults from Item Maintenance on the Additional tab there is an "Allocate Landed Cost" which can be checked or unchecked.
Resolution
To setup Landed Cost in Purchase Order Processing:
- Select Purchase Order,Setup, Purchase Order Options. Click on the Line Entry tab
- Select 'Allow Landed Cost'. The 'Allows Entry of Landed Costs' check box in the Purchase Order Options window is available only if Allocate Freight on a line item basis is cleared.
- If the 'Include Alloc'd Cost' in Default Unit Cost During Entry' check box is selected in the Purchase Order Options window, the total last cost (which includes any allocated costs) is used as the default in Purchase Order Entry, Receipt of Goods Entry, and Receipt of Invoice Entry.
- To print allocation detail on register select the option 'Print Landed Cost Allocation detail on Register'.
- Select Setup, Landed Cost Type Maintenance and create landed cost types.
Note: FRGHT will always be a landed cost type and is the only type that will be automatically updated from the freight and prepaid freight field.- Create new Landed Cost Type.
- Assign the Landed Cost Type an Allocation Method
Because weight and volume are not entered on special and miscellaneous items, a landed cost type using weight or volume as the allocation method will only allocate cost to inventory line types. - Assign an General Ledger Expense Account
- Automatic Update is only available for FRGHT
Entering Landed cost:
Landed cost can only be entered at the time of receipt of goods. If automatically update is selected for FRGHT in Landed cost maintenance, then the amount in Purchase Order entry freight field will automatically be updated to Landed Cost Entry.
If additional Landed cost need to be entered:
- Select Receipt of Goods go to the Total tab
- Click the Landed Cost button
- Choose the 'Landed cost type' and enter an amount
- Click Ok and Accept out of landed cost entry
Note that the Allow Entry of Landed Cost check box must be checked in Item Maintenance