How to calculate Landed Cost of an Item based on Volume of Case Pack
Summary: We have following requirements to calculate freight and other landed cost charges based on volume:
- Goods are shipped in containers which may be partially filled with client's merchandise.
- One Container may have multiple Purchase Orders for different Items.
- Items are packed into different cases.
- The Freight Charges for an Item is allocated based on the volume of its corresponding case as a proportion of the Container's filled volume.
e.g lets says container's filled volume is 200 CFT. Case size for an item is 0.2 CFT, 1 Case contains 10 Items
The landed cost should be calculated based on the Bill of lading's container filled volume apportioned to Item cases and item cost