Landed Cost Voucher - BOM cost

What option should I choose in BOM’s ‘Rate of Material based on’ so that Landed Cost Voucher is taken into account when clicking on the ‘Update Cost’ button?

Is the ‘Valuation Rate’ option in BOM’s ‘Rate of Material based on’ selection, coming from the fixed field in the Item master, or is it updated by Landed Cost Voucher?

Please help me understand the relationship between these.

Thank you!

You chose Based on “Valuation Rate”
Item valuations gets changed after you submit Landed cost voucher. and that is the purpose of it.

Thank you very much!

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