This message is encountered below on three different scenarios.

"You have attempted to allocate landed costs to a transaction using an allocation method that results in no allocation for any lines in the transaction. The allocation method you chose is {Method of Allocation selected}. To correct this problem, go back to the transaction and choose a different allocation method, or modify the items/lines on the transaction so that there will be some cost allocated to the lines."

Scenario 1: Item Record is not marked to track Landed Costs.

Go to Lists > Accounting > Items. Edit the Item Record > Go to Purchasing / Inventory Tab and mark the Track Landed Cost Checkbox > Hit Save.

Scenario 2: If there is no data to use for the Allocation Method Selected.

If the Allocation Method used is 'Weight', and error is still encountered, check the Item Record > Sales / Pricing Tab > Shipping section, verify if there is a value on the 'Item Weight' field.

Scenario 3: If user is attempting to allocate Landed Cost to an Item Receipt coming from Customer Returns.

Landed Costs are capitalizable costs incurred to make the Inventory available and ready for sale. Costs incurred on Customer Returns are considered expenses and are rather not capitalizable thus are not allowed. If users would insist capitalizing this cost, they may still do it via Inventory Adjustment Worksheet (use the Landed Cost Expense as Adjustment Account)