Advanced Charges

Advanced Charges, i.e., Freight Forwarding charges, are the fees charged on transportation for a shipment advanced or assigned between the carriers or the shipping companies. Advanced Charges are collected from the consignee or whoever organized the shipment.

Freight charges advanced between the carriers could be collected by any of these carriers from the consignor.

FAQ

Who should pay for freight charges?

The responsibility for paying freight charges depends on the terms of the agreement between the buyer and the seller.

How do you avoid freight charges?

To avoid freight charges, you can opt for in-store pickup or negotiate with the seller to waive the charges.

How do you calculate freight charges?

Freight charges are calculated based on the weight, dimensions, and distance of the shipment, as well as the mode of transportation and any additional services required.

Does freight charges include customs duty?

Freight charges do not typically include customs duty, which is a separate charge levied by the government.

How do you account for freight charges?

Freight charges can be recorded as an expense in the accounting records and allocated to the appropriate cost centers or products.

Are shipping charges direct or indirect?

Shipping charges are typically considered direct expenses, as they are directly related to the cost of producing and delivering the product.

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