You can mix the techniques on the same purchase invoice. For fees that are apportioned among all line items based on relative amounts of the line items, use the automatic method (entering the Freight-in item). For fees that apply only to one line item, use the manual method.
For example, assume you buy inventory and have associated costs as follows:
- 20 units of A at 5 each, weighing 0.1 kg each
- 30 units of B at 10 each, weighing 0.2 kg each
- Shipping cost of 50, to be allocated by weight
- Insurance costs of 100, to be divided according to cost
So, total cost is 550. Total weight of A is 2 kg. Total weight of B is 6 kg. And total weight of shipment is 8 kg. The purchase invoice would be entered as below. Notice I have used the new calculator feature in the
Unit price field. Lines #1 and #2 are standard inventory item entries. Lines #3 and #4 are manual entries of freight-in. Line #5 is an automatic entry of freight-in, distributed across all inventory items with quantities according to the figures in the
The completed purchase invoice looks like this:
With no other inventory transactions, the Inventory Items tab list looks like this:
As you see, average cost of A includes the 5 base cost, weight-based shipping of 0.625 [50 / 8 * 2 / 20 = 0.625], and a 1.25 share of insurance [100 * 100 / (100 + 300) / 20 = 1.25], for a total of 6.875. The average cost is rounded to two decimal places for display as 6.88. Item B is costed by similar methods. The total value of Inventory on hand equals the total of the purchase invoice, because there are no other transactions in this test business.