how to settle freight, which maintain through contract

[sb_er]

This is my requirement. I want to settle freight cost, to freight vendor. To settle freight cost, my client needs to create contract for freight vendor. I know freight can settle by planned or unplanned delivery cost. In case of planned and unplanned settlement freight charges post on to material account. Same like

1>If freight settles by contract, need to post on material account how to do that?

2>How to combine material invoice (PO), freight invoice (contract) and make the freight invoice to post on material account?

3>How to map contact and material PO combine settle both (freight and material cost) in invoice?

[Former Member · Accepted solution]

Hi

You can enter the freight condition in the PO with freight vendor at condition tyep level.

This will help to post the material & freight cost to material.

Regards

Prasad

[Former Member]

Hi,

I have one question here. The freight cost you are talking about is for the Material being procured (Purchasing) or material being sold (Shipment Cost)?

I am asking this because generally contracts are used for settlement of Shipment cost.If it is a Shipment cost settlement then there is a separate method altogether.

If a contract is created and you settle the freight cost through a release order then the invoice reciept will be done for freight against this release PO and for material the IR will be done against material PO.

But in this case the freight cost will not get added to the material cost.

Please explain your problem in detail.

Regards,

Ashish