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I am a executive of a specialty distribution business, in a effort to pass on additional handling costs we credit sales 3% then adjust inventory as needed. Proper policy?

Victor Barringer's Profile

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Victor Barringer
Title: CEO
Company: AWP Wood Products
(CEO, AWP Wood Products) |
Len Green
Title: Performance Improvement Consultant and E..
Company: Haygarth Consulting LLC
LinkedIn Profile
(Performance Improvement Consultant and ERP Strategist, Haygarth Consulting LLC) |

Victor, need more info.

What do you mean by "additional" handling costs, vs normal handling costs?
What business and/or accounting problem are you trying to solve?

Your website indicates your company may take raw lumber and convert it into specialty wood products, so I guess there is a yield factor to account for (i.e. you lose some timber when you machine/mill it to produce a finished product).

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