Surcharges
In the Item Surcharges (ticpr1110m000) session, you can define two types of surcharges:
Item surcharges
- Surcharges by item group
- Surcharges by item
Warehouse surcharges
- General surcharges by warehouse
- Surcharges by item group/warehouse
- Surcharges by item/warehouse
Item surcharges are the basis for extra costs and discounts (in terms of percentage of fixed amounts) in the cost/valuation price structure for items. If you define surcharges by item as well as surcharges by item group, the surcharges by item group are ignored during cost calculation. If general surcharges by warehouse are defined, they are used in cost calculation on top of surcharges by item or surcharges by item group.
Surcharges can relate to fixed costs and variable costs and are entered under a cost calculation code. You can record surcharges and/or discounts for the total costs, or just for added costs.
Surcharges in the Standard Cost Calculation module are estimates and are posted by a cost component.
Surcharges are used as follows:
- To calculate the Standard Cost
- To calculate the valuation price
- To do production order costing
- To determine the inventory value in case of actual costing methods