Landed Cost Functionality

[JP]

Hello,

I am looking to see if anyone can give me guidance on the landed cost functionality. I have watched many YouTube videos and read many articles. The one thing I cannot tell is if this feature is customizable or not. From what I have seen then the standard use case will not work for what I am trying to do. 

I am trying to apply a standard freight costs to my incoming raw material through the GRPO with a journal entry of:

Debit - Raw Material
Credit - Standard Raw Material
Credit - Standard Freight 

Is landed cost the right function for this set up

Any advice would be helpful 

[dgb]

I would expect the standard landed cost document to simple Debit Raw Material and Credit Standard Freight. This document is create after the GRPO and should do exactly what you need

[Felipe_Lima]

Hi @JP ,

Yes, you could use Landed Costs to add 3rd party freight costs to your stock item.

Assuming the GRPO is already posted in the system, you just need to open the Landed Costs window, select the vendor, the broker (the carrier you'll have to pay in this case), input the freight costs on the costs tab (considering you have configured Landed Costs previously), and choose the allocation method. Post the document, run the Stock Audit Report, and see the costs added to the item(s).

Afterwards, you can create an AP invoice for the carrier, copying details from the very same Landed Cost document to finally post the freight charges.

SAP Documentation: SAP Help Portal

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BR,
Felipe

[JP]

Hi Felipe,

[JP]

Hi Felipe, Thank you for the advice. I have an additional question based of your comment. If I were to make the freight cost on the landed cost document a standard amount and then post the actual AP Invoice with actual cost would that do the following:

1. Allow me to post a JE with a standard freight amount to a standard freight GL account?
2. There will likely be a variance between the A/P invoice and Landed Cost freight at standard. Can I route that variance to a GL account of my choosing?