Freight and Freight Factor in Receiving and Costing

We are going to look at the basic information for Freight and Freight Factor fields that you see on the Receiving and Costing Screen.

It is recommended to do either Freight or Freight Factor since this could add excessive freight to the AP.

Freight

In the top right, the Freight field is used to enter the actual freight on the invoice.  For more details on how the freight is distributed when using this field, click here. 

If the invoice freight should remain on the record, select either Use Unit Cost or Use Percentage of Gross Cost making sure the chosen one is set to 0.00 and uncheck Keep Existing Factors and click Apply Roll/Item Freight Factor.

Freight Factor

The Freight Factor information is located on the bottom of this screen.

When receiving or costing inventory, a freight factor may be applied to the cost of the material.

If the freight factor is to remain on the inventory record, remove the invoice freight (top right) from the costing screen. Freight value can be added manually to the AP record.

For Rolls or Item, you may select from three areas to calculate a freight factor:

Use Products File

This selection will use the amount entered on the Products record for this item as the freight factor.  If the products record freight field is blank, a zero freight factor will be used.

Use Per Unit Cost

Enter an amount (in dollars & cents).  This amount will be multiplied by the number of units on the customer order line that is sold to compute the freight cost.

Use Percentage of Gross Cost

Enter a percentage.  The percentage will be multiplied by the gross cost to calculate the freight factor

The Use Per Unit Cost and the Use Percentage of Gross Cost can be set in the Stand Freight Charge Set Up System Option

Keep Existing Factors

This check box allows you to use the Freight from the top right and the Freight factor at the same time.  If only one or the other is to be used, make sure the box is unchecked.

After you select the type of Freight Factor calculation, you MUST click the Apply Roll Freight Factor/Apply Item Freight button to apply it to all of the rolls/items displayed for this supplier invoice if User Per Unit Cost or Use Percentage of Gross Cost is selected.