Use item charges to account for additional trade costs To ensure accurate valuation, it is essential to account for any additional costs associated with your inventory items, including freight, handling, insurance, and transportation expenses incurred during transfer orders. For purchases, the landed cost of an item comprises the vendor's purchase price along with all other direct charges attributable to individual receipts or return shipments. Similarly, understanding the shipping costs of transferred items between Location is equally crucial for your company as knowing the landed costs of purchased items.
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