Most of the time, the transportation cost has to be borne by the customer in business. When we buy from our vendor, the vendor sends the goods along with the copy of the invoice, while the cost of the logistics comes from the logistics provider. The transportation cost can be a fixed or variable depending on the goods to be delivered. The transportation cost can be paid in cash or bank check or any other payment methods.
The cost of transportation is divided among the number of products received and added to the cost of products that have been received through the number of shipments in the same transportation cost. So the cost of the product will increase, which increases the cost of the inventory. There are certain methods to divide the total cost of transportation between the stocks received for multiple shipments. This can be divided per quantity, based on the weight or volume.
Odoo has a built-in feature to divide the cost of transportation between the received stock based on the different computation methods. This feature is known as landed cost in Odoo. Let's see how the landed cost has been divided between the arrived products, based on the quantity, weight, or volume, and added to the cost of products.