Landed cost
The true cost of every unit.
What you paid for a product is only part of what it cost you. Landed cost adds the freight to get it to you, so your margin is real.
Buy
Record what you paid for the goods.
Ship in
Add the freight that brought them to you.
Spread
The freight is spread across the units received.
Sell
Cost of goods reflects the landed cost, not just the price.
01 · Freight included
Cost that counts the freight
Inbound freight is a real cost of the product, so it is spread across the units it brought in and carried into your cost of goods. A cheap unit with expensive freight shows up as exactly that.
- Inbound freight spread across the units received
- Landed cost carried into cost of goods
- Margin that reflects what the unit really cost
02 · Costs that follow
A cost for every unit, and a flag when one is missing
Where a cost comes from is predictable: your most recent purchase price first, then the vendor's cost, then a standard cost you set. A multi-pack counts every unit inside it, and a missing cost is flagged instead of treated as zero.
- Cost taken from the latest purchase, then vendor cost, then standard cost
- Multi-packs counted by the units inside them
- Missing costs flagged, never silently zero
Real margin
Cost of goods you can defend.
A number built from what you paid and what it took to get it here, flowing into every order and every report.
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