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Freight costs based on weight during standard costs creation

Hi Gurus

A message for moderator.

I created a message earlier for freight calculation in the standard cost estimate based on weight but you rejected the contents but I tried to look a specific solution to my problem, I could not find a solution. So please do not reject this messge

I need to add for an imported material

Duty 5% on mat consumption

Freight should be based on weight

We have EA is basic UOM in the material master and alternative unit of measurement is CAR

The weight each material is 0.50 lbs and is defined in the material master basic view 2.

Here as you know there is no BOM for these materials.

My question:

How will I compute standard cost using the freight with weight.

Please help

Nadhini

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1 Answer

  • Posted on Oct 07, 2016 at 09:25 AM

    Hi Nandini,

    You can acheive this using template allocation method to load freight cost.

    1) You need to activate the basic view field in Define Environments and Function Trees:

    001 Cost estimate/production orders > SAP1 Cost estimate/production order > Materials > Material weight (In usage tick all the columns)

    2) Create template using Cost centre / Activity Type and give your cost centre and activity type for freight.

    3) For Plant qty use below formula: ( use the field which was activated in above step)

    (Material Weight) * .05 * OrderTotalQuantity

    4) For Actual Qty use below formula:

    ( Material Weight) * .05 * OrderMaterialQuantityConf( Material = OrderMaterialNumber )

    5) Give freight cost per/lbs against the activity type in KP26

    Complete all the relevant settings for template allocation.

    Now once yo run your cost estimate, frieght cost will be loaded on your material based on your material weight under this activity cost and also during production confirmation, it will be based on material consumed.

    Regards

    Bhaskar

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