As part of receiving goods that incur Landed Costs and subsequently invoicing Landed Costs, a series of costs are posted into the General Ledger within Business Central.
Referring to the Landed Cost Type setup guide, the Cost Treatment that you choose for a Landed Cost Type will drive the financial postings that are recorded inside of the system, and will distinguish whether variances between expected and actual costs are simply written to a variance account or propagated through inventory transactions to cost of goods accounts. More information on selecting the correct Cost Treatment for your business can be found here.
In addition to the Cost Treatment assigned to the Landed Cost Type, the specific financial postings that are created within Business Central will depend on the type of document you are processing (Purchase/Transfer) and the Costing Method of the Item, which is detailed in the following pages of this help guide.
Note: when landed costs using the Charge Item Cost Treatment are posted, Clever Landed Costs runs a cost adjustment for the Items affected straight away, so that any change to the inventory cost flows through to entries that have already used that inventory.
Preview Posting
As part of Clever Landed Costs (from V5.3.0) it is possible to see what transactions will be created during the posting process using the Preview Posting function in Business Central.
You are able to review all Landed Cost Ledger Entries, Value Entries and G/L Entries that will be created for Landed Costs when a document is posted, without actually committing the posting, which works alongside the existing Business Central Related Entries information.
Preview Posting is available from Purchase Orders, Transfer Orders and other documents where Landed Costs are applied. To use the feature:
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Open the relevant document, for example a Purchase Order.
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From the Posting menu, select Preview Posting.
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The "Posting Preview" screen will display all entries that would be created by the posting. A row labelled Landed Cost Ledger Entry will appear in the list, showing the number of Landed Cost entries that will be created.
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Click on the Landed Cost Ledger Entry row to drill down and review the individual entries, including the Entry Type, Landed Cost Type Code, Item Ledger Entry No., Location Code and Cost Amount (Expected) of each entry.
Note: Preview Posting does not create any real entries and does not affect your live data. It is intended as a review tool only. Once you are satisfied with the preview, close the "Posting Preview" screen and proceed with the standard Post action.
Reviewing posted entries
After posting, use Find entries on the posted document to see the Landed Cost Ledger Entries it created alongside the standard Business Central entries. From the "Landed Cost Ledger Entries" screen you can then select General Ledger from the Navigate menu to see the G/L Entries that Clever Landed Costs posted for an entry. See Landed Cost Ledger Entries for more information.
To list the expected landed costs that have been received but not yet invoiced, for example when reconciling accrual accounts at a period end, use the Landed Cost Reconciliation report.