[mubtuhogar]

Hi CS Representative,

I currently use Retail Edge 8.0. I am in the initial phases of implementing the software for our Furniture Store. I just came to my first question. The system has a section to apply the cost of the product. Here is my situation:

Let's say I buy a Sofa from China and my purchase price is $299 USD. After Freight Charges, Shipping & Handling, etc, the final cost of the sofa is $359 USD. In this situation I end having two costs: My Purchase Price of $299 and my Final Cost of $359.

I can use the tab labeled "Cost" and put the $359 since it's my final cost. But whenever I need to make a PO it needs to have the $299 Purchase Price. Because the extra $60 are paid to separate companies for Freight Charges and Shipping.

Now my question arises, how can I implement my purchase price and my final cost to a product?

Thanks,

W. Maldonado

[RetailEdge Moderator]

Take a look at the following link

http://www.retailedge.com/phpBB/viewtop ... 747&p=2407

This discusses different things to think about when dealing with item costs in RetailEdge.

Typically people don't build shipping into the cost of an item unless their is a good reason to. You have many other business expenses and this is typically done on the accounting side of things (electricity, shipping, rent, oil, etc.). These all effect the profitability of your business. Especially since the expenses for shipping are paid to different companies.

If you really need to add a the cost of shipping into the cost of the item, you can do this but read the link and make sure that it is really what you want to do. Unless it is a separate item on the PO, then you are going have problems with the reorders as you discussed.

You should also talk to your accountant about how they would like this expense handled. They may not want you to artificially inflate your inventory costs for tax purposes.

Hi CS Representative,

I currently use Retail Edge 8.0. I am in the initial phases of implementing the software for our Furniture Store. I just came to my first question. The system has a section to apply the cost of the product. Here is my situation:

Let's say I buy a Sofa from China and my purchase price is $299 USD. After Freight Charges, Shipping & Handling, etc, the final cost of the sofa is $359 USD. In this situation I end having two costs: My Purchase Price of $299 and my Final Cost of $359.

I can use the tab labeled "Cost" and put the $359 since it's my final cost. But whenever I need to make a PO it needs to have the $299 Purchase Price. Because the extra $60 are paid to separate companies for Freight Charges and Shipping.

Now my question arises, how can I implement my purchase price and my final cost to a product?

Thanks,

W. Maldonado