Inventory - Include freight in cost
Ability to include freight into the cost of inventory.
Purpose: For some businesses, freight is a significant portion of the value to determine the cost of an item.
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Sergio Congia commented
Xero can implement a basic Goods Receipt screen where users can confirm the actual quantities received against a purchase order, as well as record additional costs documents for freight and duty costs.
These additional costs documents can be entered against an "Inventory" account type (say for Importation Costs), so that the costs are associated as cost of inventory.
On the screen the user can see the additional costs being apportioned to each item in the Goods Receipt screen. With the newly calculated item costs now appearing on the screen, Xero can use this new value to set the product costs value when posting the product into inventory. This new cost (which includes the import and duty costs) will be used in the PL to calculate the COGS when an invoice is created.
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Simon Hudson-Peacock commented
As a distributor of imported goods, not being able to allocate Duty and Freight Costs to inventory is motivating me to look for another accounting package.
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Raymond Rainbird commented
Definitely need this
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Ravinder Singh commented
Yes, we definitely need this!
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Lindy McNair commented
This would be invaluable. Yes please.