Setting Up Landed Costs
Access the Landed Cost Revisions form.
You associate the parameters of a landed cost, such as the general ledger category code, with a landed cost rule or an item. To associate the parameters with a landed cost rule, complete the Landed Cost Rule field. To associate the parameters with an item, complete the Item Number and Branch/Plant fields.
- Landed Cost Rule
Enter a value from the Landed Cost Rule (41/P5) UDC table to which you associate landed cost parameters.
- Cost Level
Enter a value from the Landed Cost Components (40/CA) UDC table to identify an add-on cost. This code also specifies the sequence of the cost add-ons for a particular item or group of items.
- Percent of Cost
Enter a percentage of the item's primary purchasing cost that the system adds as a landed cost component to the base cost of the item as indicated on a purchase order.
- Plus Amount
Enter an amount that the system adds to the indicated cost to equal the total cost amount.
- Weight Rate
Enter the weight that the system multiplies by the unit weight that you specify for an inventory item. The system uses this amount to calculate a landed cost component.
- Volume Rate
Enter the volume that the system multiplies by the unit volume that you specify for an inventory item. The system uses this amount to calculate a landed cost component.
- Based on Level
Enter a value from the Landed Cost Components (40/CA) UDC table to identify the basis of cost for an item. If you use this code, you can roll costs based on a previous level total.
- Include In Cost (Y/N)
Enter Y to include the landed cost in the item's unit cost.
- Voucher Y/N
Enter Y to display the landed cost during voucher match. The system creates a receipt record in the F43121 table and the landed cost can be vouchered in the Voucher Match program. The Landed Cost Code (LAND) field in the receipt record will contain a value of 2.
Enter N to create a record in the F43121 table but prevent the landed costs from being vouchered in the Voucher Match program. The Landed Cost Code (LAND) field in the receipt record will contain a value of 3. The receipt record is necessary if the receipt is reversed.
Note: Journal entries are still created when the value is N. As a result, you may want the Landed Cost AAIs (4385/4390) pointed to the same general ledger account to cancel the entries.