# Issuing an Item as Free Without Setting Its Rate to Zero in the Sale Bill

**YouTube:** [How to Issue an Item as Free Without Setting Rate to Zero in Sale Bill?](https://www.youtube.com/watch?v=Xoe4BtIyZY0)

## How to Issue an Item as Free Without Setting Rate to Zero in Sale Bill?

In this tutorial, we’ll walk you through the **methods of marking an item as free** during billing in **Logic ERP**.\
Let’s begin by generating a **sales bill**.

***

### First Method: Using Zero in the Sale Rate Field

* To issue a free item, enter **0 (zero)** in the **Sale Rate** field.
* This action opens a **dropdown list**, where you can choose to mark the item as either **Free Replacement** or **Sample**.

<figure><img src="/files/qwxQcw8vX7lEXDIFe4BI" alt=""><figcaption></figcaption></figure>

* Ensure that the **Allow Free Replacement** option is **enabled in the Sales Voucher Configuration** for the relevant billing series.

<figure><img src="/files/MBuh1eZwD5nUikiR0a34" alt=""><figcaption></figcaption></figure>

Select **Free** from the dropdown list and continue with the transaction. The item has now been **transacted as a free item**.

<figure><img src="/files/oJL2MXD2jwWX5b1ZJfWI" alt=""><figcaption></figcaption></figure>

> This method is typically used for issuing **free promotional or sample stock**.\
> In such cases, the ERP records only the **quantity movement**, without capturing any monetary value.

***

### Second Method: Using the F2 Shortcut Key

* Alternatively, transact an item as usual and press **F2** in the **Rate** column.
* The item will be **flagged in blue**, indicating it as a **free product**.

<figure><img src="/files/tOzVbCQSYMhWJo0bBwde" alt=""><figcaption></figcaption></figure>

This method is used when you want to issue free promotional or sample stock **but also wish to track the corresponding value**.

The ERP records:

* The **issued quantity**
* Calculates the **amount**
* Adjusts the value in the **Scheme Unit field**

<figure><img src="/files/NBNFmtsJRSGBUk2xiohq" alt=""><figcaption></figcaption></figure>

This allows the system to **retain the value reference** for accurate reporting and analysis.

***

### Reviewing the Sales Report

After saving the bill, let’s look at the **Sales Report**:

* In the **first entry**, the system records only the **stock movement**, without creating any financial entry for the free item.
* In the **second entry**, both the **stock movement and the monetary value** of the free item are captured.

> This enables detailed analysis for purposes such as **marketing cost evaluation, MRP validation, and sales comparisons**.

<figure><img src="/files/r0LT55BLgxNqPMQ9K8hL" alt=""><figcaption></figcaption></figure>

***

### Result

By using these two methods, you can accurately handle **free promotional or sample stock** in Logic ERP — ensuring proper **inventory tracking** and **financial reporting** as per your requirements.


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