Charge Rules (CHR) - Value Label Details

When apportioning costs using landed costs, a source for the apportioning costs must be defined. This is the maximum amount that can be apportioned and is identified as the source value label.

For example, on a transaction there may be many value labels, each holding different values such as the net value of 100 GBP, the tax of 20 GBP, and the gross of 120 GBP. Either the net value or the gross value can be used as the source and maximum amount for apportioning.

If this value label is not present on the order or invoice type to be apportioned, or it has a value of zero, then no landed cost apportioning can be performed.

Note: The Source and Target value labels must be defined as such on the purchase or movement type setup. If the value label is not defined on the purchase or movement type setup, landed costs cannot be performed.

Note:

This value label is linked to a formula in the relevant transaction type. When setting up the formula, the number of decimal places can be specified and this number is used when entering values into the value label. Within Landed Costs, the Source value label must have the same number of decimal places as the currency to be used. The easiest way to achieve this is to have the decimal places on the formula set to Default to Currency. If this is not done, the Source value label may have more decimal places than the currency to be apportioned.

For example, if a formula and the Source value label are set to five decimal places and the currency being used is set to two decimal places, problems occur as the system tries to apportion to two decimal places. However, Landed Costs needs to apportion the whole value label amount which is five decimal places.

The value which is to be used to update the Item Costs, receipt costs and issue cost with the apportioned amount. For example, net. This is a Value Label. If it is not present on the order or invoice type to be apportioned, then no landed cost apportioning can be performed.

This value label must be associated with a cost type for item, receipt or issue costs in order to be updated by the Landed Costs function.

Note: The Source and Target value labels must be defined as such on the purchase or movement type setup. If the value label is not defined on the purchase or movement type setup, landed costs cannot be performed.

The apportioning of landed costs can be done either manually or automatically. If performed automatically, then the value label defined in this field is used. It is the value on the target transactions to be used to calculate the charge factor or apportionment ratio that is to be applied. For example, quantity or net value. This may be multiplied by the Charge Index.

Specifies which currency is used with the source value label. Options are: Corresponds to Base Currency, Corresponds to Transaction Currency, or Corresponds to Reporting or 2nd Base Currency. Landed Costs are always converted using the pivotal currency as specified in the Business Unit Setup.

Identifies which currency is used for the charge factor. Options are: Without Units, With Units, Corresponds to Base Currency, or Corresponds to Reporting or 2nd Base Currency.