Inventory after upgrade

[isotherm]

Thank you for the responses.

I should have said “one-time” rather than fixed cost. Example: To produce a book, $100 to license a font + $1000 advance to author + $1000 advance to illustrator + $3000 in installments to manufacturer + $200 for freight + $100 misc. shipping (proofs etc). All amounts are paid out to different entities on different dates. Future orders of that item would generally involve only the manufacturer and freight costs.

I had entered those as empty-quantity based on the below threads:

Inventory - Landed Cost

OK, so if I understand this correctly, it’s about capitalizing delivery expense so it doesn’t show on P&L. It must be capitalized as Inventory on hand. And the problem is that delivery of these items is by different company than the one selling the item. So what you are asking is ability to purchase inventory items with ability to enter zero quantity. That way you can allocate delivery costs to the specific inventory item without actually increasing inventory count. Is that correct?

Allocating freight-in to the cost of inventory items when purchasing

When purchasing inventory items, freight-in represents the transportation cost associated with the delivery of goods from a supplier. For accounting purposes, the recipient adds this cost to the cost of the goods received. Let’s say you purchase an inventory item which has a $20 delivery fee. Rather than posting the $20 delivery fee to an expense account, you can add this cost to the cost of the inventory item. [image] By not entering anything into the Qty field of the second line item, the …

Switching to production orders seems like a better solution, except I’m not actually manufacturing the product here, so I can’t enter the manufacturing line item into the production order (since it is on a purchase invoice). Leaving the production order with zero quantity to add in the other costs works for now, but it seems like it could also break in future upgrades.