Order Management – Receiving

The BILL IN ADVANCE OF RECEIPT checkbox enables us to tweak the purchase-to-pay process. The standard procure-to-pay process requires a receipt to precede the billing of the purchase order. In fact, the BILL button will not appear on a purchase order until the purchase order has been received. By enabling this checkbox, NetSuite gives us the option of billing before receiving a purchase order.

Will we allow the warehouse manager to receive more items than were ordered on the purchase order? This option is determined by checking or unchecking the ALLOW OVERAGE ON ITEM RECEIPTS checkbox. 

LANDED COST is a feature that is enabled separately. It allows us to allocate the costs of shipping the items to us to the cost of the items themselves. We may buy Widget A from our vendor in China at $10 per item. It may, however, cost us thousands of dollars to ship the items to our warehouse in San Diego and even more in customs duties. In that event, is the cost of the item really $10 or should we apportion the freight and duty to each of those items? The LANDED COST ALLOCATION PER LINE feature will allow you to do so. Here, we are presented with the option to apportion the costs per order or per line on that order:

Receiving section on Accounting Preferences