Landed Cost Inventory Adjustment

The Landed Cost Inventory Adjustment account holds the amount of variance produced as an effect of vouchering landed cost PO receipts. This accounting takes place:

If Landed Cost Vouchered Amount < PO Estimated LC Cost:

• Debit: LC Payable; Credit: LC Inv Adj (Actual Cost Type)
• Debit: LC Payable; Credit: LC Variance (Standard Cost Type)

If Landed Cost Vouchered Amount > PO Estimated LC Cost:

• Debit: LC Inv Adjustment; Credit: LC Payable (Actual Cost Type)
• Debit: LC Variance; Credit LC Payable (Standard Cost Type)