Skip to Content
avatar image
Former Member

USAGE OF INCO TERMS

HI FRIENDS,

1. WHAT IS THE USE OF INCO TERMS? WHEN I MAINTAIN CIF IN PO, THEN WHAT WILL HAPPEN AT PO PRICING, GR AND MIRO? PLEASE EXPLAIN WITH FOB, CRF...

2. IN IMPORT PROCEDURE LANDING CHARGES AND IN SOME CASES INSURANCE AND FREIGHT, THIS CUSTOM WILL INCLUDE IN THE PRICING PROCEDURE FOR CALCULATION PURPOSE ONLY.BUT IN MIRO FOR PLANNED DELIVERY COSTS ALL THESE ARE APPEARING IN THE LINE ITEMS. HOW TO AVOID THIS AND PLEASE EXPLAIN THE CORELATION OF THIS AND INCO TERMS? AND ALSO HOW TO CONFIGURE CONDITION TYPES FOR THESE I.E., ZINS ETC. FULL POINTS WILL BE AWARDED. THANKS IN ADVANCE.....

Add comment
10|10000 characters needed characters exceeded

  • Follow
  • Get RSS Feed

2 Answers

  • Best Answer
    Sep 05, 2008 at 03:27 AM
    Add comment
    10|10000 characters needed characters exceeded

    • Hi,

      Incoterms can be used as a criteria for the calculation of Freight/Delivery Cost. In case if it is used for this purpose and any freight/delivery cost condition is used in PO on this basis then it will hit Freight Clearing Account as Credit and debit the Stock Account. And at the time of LIV, if you are using this as Planned Delivery Cost then Freight Clearing A/c will get debited and credit Vendor Account.

      Otherwise, there is not any Financial Impact.

  • avatar image
    Former Member
    Sep 05, 2008 at 03:29 AM
    Add comment
    10|10000 characters needed characters exceeded