Purchase Orders > Landed Cost Tracking > Setup > Calculation Codes

Calculation Codes

You use this program to add or change the calculations used to determine the expected cost of each cost element within a bill of landed costs.

You can also use these calculations to apportion invoice values to purchase order lines.

LCT Calculation Codes

Field Description
New Select this to add a new calculation code.
Delete Select this to delete the calculation code currently displayed.
Save Select this to save the details you entered or changed.
Calculation code Enter the calculation code you want to add or update.

Calculation Code Details

Field Description
New Select this to add a new formula for the calculation code. This clears all fields in the Formula details section.
Add Select this to add the calculation formula to the calculation code once all the entries have been made for the equation.

The formula details are displayed in the Calculation Codes Formulae listview.
Change Select this to maintain the calculation code formula line currently highlighted in the Calculation Codes Formulae pane.
Delete Select this to delete the calculation code formula line currently highlighted in the Calculation Codes Formulae pane.
[Note]

The line is deleted without warning. However, if you close the program and do not save the changes, then the line is restored.
Description Enter a description for the calculation code.
Formula details

You use these fields to enter the expressions you want to include in the equation.
Field 1 - Field 4

You use the dropdown icon at each field to select the entry you require.

[Note]

By default, only the first 20 available entries are displayed in the drop down. To view all the available entries, you need to select the Browse icon.

These fields can be one of the following:

  • A numeric value, such as 1.23-
  • A variable (a word preceded by the $ character e.g. $ABC)
  • A constant (a word preceded by the % character e.g. %XYZ). See Browse on Constant Codes.
  • A reserved word (a specific field in SYSPRO's database) - see Reserved Words.
  • A previously defined calculation code (a defined calculation code preceded by the & character e.g. &Rail)

  • The result of the calculation (except in Field 1) if you want the calculation to continue.

    You may not add a line if the previous line does not contain an answer/result field.

See also Example Calculations.
Operand 1 - Operand 3

Indicate the operand symbol of the function you want to perform on the two adjacent fields.

You use the dropdown icon at each operand field to select the operand you want.

  • Select X,x,* to multiply.
  • Select / to divide.
  • Select + to add.
  • Select - to subtract.

  • Select = to indicate equals.

    This operand cannot be selected in the Operand 1 field.

Example Calculations

Following are examples of sample calculations:

  • Example 1

    MASS x DUTY1 / 100

    This will multiply duty rate 1 of the item's tariff code by the unit mass and divide that result by 100.

    If the mass is 150, and the duty rate is 15%, then the calculation would return the value of 22.5.

  • Example 2

    MASS x RATE + 23.45 = $ABC VOL x RATE + 12.23 = $TEST $TEST + $ABC

    This will multiply the items Unit mass by the cost element's rate and add on 23.45, giving a variable string 'ABC' as the result.

    Thereafter the item's volume is multiplied by the cost element rate to which is added 12.23.

    These two variables are added together, with the result of this calculation being returned.

  • Example 3

    QTY x 2

    If a quantity of 5 is entered on the purchase order, then the unit cost is calculated as 5 x 2 = 10. This is multiplied by the quantity entered on the purchase order, which is 5. The total cost becomes 5 x 10 = 50.

    Similarly, if the quantity on the purchase order was 10, the unit cost would be 10 x 2 = 20 and the total cost would be 10 x 2 x 10 = 200.

    In addition, in both these examples, the total cost would be multiplied by the exchange rate for a foreign currency supplier.

  • Example 4

    If you want to accumulate costs and calculate 10% of the total, then you can do the following:

    Line 1: PRICE + DUTY1 + DUTY2 = $result1

    Line 2: $result2 + DUTY3 = $result2

    Line3: $result2 * 10 / 100

Reserved Words

The following reserved words can be used in Field 1 to Field 3. They are selected by using the dropdown at each of these fields.

Reserved Word Description
DUTY1 - Duty rate 1 The Duty rate 1 from the Tariff code file (Browse on Tariff Codes).
DUTY2 - Duty rate 2 The Duty rate 2 from the Tariff code file (Browse on Tariff Codes).
DUTY3 - Duty rate 3 The Duty rate 3 from the Tariff code file (Browse on Tariff Codes).
EBQ - Economic batch qty Economic Batch Quantity.
EXRATE Current exchange rate.

This uses the current rate of exchange for the currency of the supplier defined against the element used. A calculation code is always associated with an Element code on a Bill. The supplier from the Element is found, then the currency against that Supplier is found and the current exchange rate for that currency is applied. Although you can define a currency against an element which differs from the supplier, it will not be used.

The rate is always the current day's rate, irrespective of the program used. For example, if today's exchange rate for $ is 12.35 and you attach a purchase order line to a shipment using this reserved word, then 12.35 is applied in the calculation for EXRATE. If your exchange rate changes to 12.85 and you then post an AP invoice, then 12.85 will be used in the calculation for EXRATE.

FORVAL - For prc unconverted. Foreign price unconverted.
LCTFOR - Foreign prc converted

To apply a customs exchange rate you must use the reserved word LCTFOR as one of the fields in a cost calculation. This reserved word LCTFOR refers to the merchandise price of the inventory item being imported. This is either the LCT merchandise price (when calculating the expected duty) or the actual purchase price (when entering purchase orders into a shipment).

The value of the merchandise is then converted (for a foreign currency supplier) to local currency using the Customs exchange rate (LCT Customs Exchange Rates). Determining the correct exchange rate depends on whether you are calculating the Expected duty or the Actual duty:

  • The Expected duty assumes an exchange rate date of 00/00/00.

  • The calculation of Actual duty for a live purchase order uses an exchange rate date based on the departure date of the vessel. If this exchange rate has not yet been entered, then the system requests the actual exchange rate and inserts it into the customs exchange rate file. You will therefore need to know what the exchange rate is to calculate the expected cost at the time of attaching the purchase order to the shipment.

Customs exchange rates are defined using the (LCT Customs Exchange Rates) program.

Application of this reserved word depends on the program being used.

  • When calculating the standard merchandise cost, LCTFOR indicates the LCT merchandise price (defined in the Purchase order cross-reference file).

    The calculation program converts the LCT price (for a foreign currency supplier) at the customs exchange rate, using an exchange rate date of 00/00/00. If an exchange rate has not been entered, then the system requests the exchange rate to be used and inserts it into the customs exchange rate file.

  • When calculating the actual merchandise cost, LCTFOR indicates the Actual purchase order price, converted to local currency using the customs exchange rate (based on the departure date of the vessel).

    If an exchange rate has not been entered, then the system requests the exchange rate for that departure date, and inserts it into the customs exchange rate file.

Examples of calculating duty:

In the following examples the following values are used:

Supplier's currency: Foreign

LCT merchandise price: 100.00

Actual purchase price: 110.00

Customs exchange rates: Based on date 00/00/00: 4.00000 (Multiply), Based on an actual date: 4.50000 (Multiply)

Tariff duty rate 1: 10.00 (percentage)

  • Example 1: Calculating expected duty for foreign currency supplier Field Op. Field Op. Field LCTFOR X DUTY1 / 100

    The duty value is calculated as: (100.00 x 4.0000) x 10.00 / 100 = 40.00

  • Example 2: Calculating actual duty for foreign currency supplier Field Op. Field Op. Field LCTFOR X DUTY1 / 100

    The duty value is calculated as: (110.00 x 4.5000) x 10.00 / 100 = 49.50

If, in the above examples, the supplier was a local currency supplier then the merchandise price would not be converted by the customs exchange rate.
LCTPRC - LCT merchandise price

Application of this word depends on the program being used:

  • When calculating the standard merchandise cost, LCTPRC indicates the LCT merchandise price (defined in the Purchase order cross-reference file).

    The calculation program converts the LCT price (for a foreign currency supplier) at the current exchange rate, using the Currency exchange rate table.

  • When calculating the actual merchandise cost, LCTPRC indicates the Actual purchase order price, converted to local currency using the exchange rate held against the shipment.

    Where this exchange rate is used to calculate the customs charges for a sundry consignment, the customs exchange rate is used instead (LCT Customs Exchange Rates).
MASS - Unit mass The Unit mass from the stock code file (Stock Codes - Stock Code Details).
PAN - Pan size PAN size
PRCDUT - LCTPRC + Duty 1, 2, 3 The LCTPRC plus Duty 1, 2 and 3
PRICE - List price

The List price from the stock code file (Stock Codes - Sales Details).

If this is defined as a foreign currency price, it will be converted to local currency using the exchange rate table (Browse on Currencies).
QTY - Quantity Quantity.
RATE - Expected price The Expected rate from the cost element file (Browse on Elements).
USER - User defined field 2 The User-defined field 2 from the stock code file (Stock Codes - Other).
VOL - Volume The Volume from the stock code file (Stock Codes - Stock Code Details).

Calculation Code Formulae

This pane displays the entire formula for the calculation code.

You can change or delete a specific line by highlighting the line and selecting the Change or Delete icon in the Calculation Code Details pane.

When you create a Bill Of Landed Costs (Bill of Landed Costs) you enter a cost element (Browse on Elements) and a calculation code for each entry on the bill.

The cost calculation code determines the expected cost of the cost element.

The arithmetic is performed from left to right.

For example, adding the following two lines:

Line 1: 4.5 x 2 + 3 = $test

Line 2: $test + 5 + 1 would yield the result 18

Notes and warnings

eSignature considerations

Electronic Signatures provide security access, transaction logging and event triggering. This enables you to increase control over your system changes.

Access to the following eSignature transactions within this program can be restricted at Operator, Group, Role or Company level. You configure this using the eSignature Setup program.

eSignature Transaction Description
PO LCT Add Calculation Code

Controls access to the addition of LCT calculations codes in the LCT Calculation Codes and Browse on Calculation Codes programs.
PO LCT Change Calculation Code

Controls access to the maintenance of LCT calculations codes in the LCT Calculation Codes and Browse on Calculation Codes programs.
PO LCT Delete Calculation Code

Controls access to the deletion of LCT calculations codes in the LCT Calculation Codes and Browse on Calculation Codes programs.

Coding considerations

  • You can use an alternate unit of measure as the base of any calculation if you selected the option: Convert all quantities unit of measure (Purchase Orders Setup).

    If a purchase order is raised using an alternate unit of measure, the quantity is converted to the stocking unit of measure on all lines of the shipment. This means that when calculations are done, all the lines are based on the same unit of measure.

Inserting Application Help

You would typically follow this procedure to display help for the current program in a customized pane that can be pinned to the program window.

Information includes step-by-step instructions for the various functions available within the program, including a brief overview of what the program does, what setup options are required and how to personalize the program.

  1. Open the program for which you want to insert application help into a customized pane.

    This functionality is only available for a program that has panes.

  2. Right-click any form field.

    You can also click the triangle menu icon that appears in the title area of a pane.

  3. Select Insert Application Help from the context-sensitive menu.

    The application help appears in a pane within your program. You can reposition the pane using the docking stickers or pin it to the program window.

Removing the Application Help pane

If you no longer want to display application help in a pane for your current program, you can simply remove it.

  1. Select the Close icon in the right-hand corner of the application help pane.

  2. Confirm that you want to delete the pane.