Shipping Costs Calculations on Purchase Orders
Last updated 2 days ago
How to View Shipping Costs Per Line Item
You can view exactly how the total shipping cost is divided among the individual items on your Purchase Order. This helps you understand the true "landed cost" for each item in your inventory.
How to use it:
1. Ensure a value is entered in the Shipping field in the order summary.
2. Locate the Info icon (ℹ️) next to the Shipping cost field
3. Click the icon to see the specific shipping cost allocated to the items.
How is it calculated?
The system automatically allocates shipping costs based on the value of each line item relative to the total order (before tax). It does not calculate based on weight or quantity.
The Formula:
Item Shipping Cost = (Line Item Amount / Total Order Amount) X Total Shipping Cost
> Example: If an item represents 20% of the order's total value, 20% of the shipping cost will be allocated to it.
