diff --git a/org.adempiere.base/src/org/compiere/acct/Doc_InOut.java b/org.adempiere.base/src/org/compiere/acct/Doc_InOut.java
index b04b9f942f..09ebc9256c 100644
--- a/org.adempiere.base/src/org/compiere/acct/Doc_InOut.java
+++ b/org.adempiere.base/src/org/compiere/acct/Doc_InOut.java
@@ -184,9 +184,19 @@ public class Doc_InOut extends Doc
 						MProduct product = line.getProduct();
 						if (product.isStocked())
 						{
-							p_Error = "No Costs for " + line.getProduct().getName();
-							log.log(Level.WARNING, p_Error);
-							return null;
+							//ok if we have purchased zero cost item from vendor before
+							int count = DB.getSQLValue(null, "SELECT Count(*) FROM M_CostDetail WHERE M_Product_ID=? AND Processed='Y' AND Amt=0.00 AND Qty > 0 AND (C_OrderLine_ID > 0 OR C_InvoiceLine_ID > 0)", 
+									product.getM_Product_ID());
+							if (count > 0)
+							{
+								costs = BigDecimal.ZERO;
+							}
+							else
+							{
+								p_Error = "No Costs for " + line.getProduct().getName();
+								log.log(Level.WARNING, p_Error);
+								return null;
+							}
 						}
 						else	//	ignore service
 							continue;
@@ -387,6 +397,7 @@ public class Doc_InOut extends Doc
 				DocLine line = p_lines[i];
 				BigDecimal costs = null;
 				MProduct product = line.getProduct();
+				MOrderLine orderLine = null;
 				if (!isReversal(line))
 				{
 					//get costing method for product
@@ -399,7 +410,7 @@ public class Doc_InOut extends Doc
 						// Low - check if c_orderline_id is valid
 						if (C_OrderLine_ID > 0)
 						{
-						    MOrderLine orderLine = new MOrderLine (getCtx(), C_OrderLine_ID, getTrxName());
+						    orderLine = new MOrderLine (getCtx(), C_OrderLine_ID, getTrxName());
 						    // Elaine 2008/06/26
 						    C_Currency_ID = orderLine.getC_Currency_ID();
 						    //
@@ -424,7 +435,7 @@ public class Doc_InOut extends Doc
 						    costs = costs.multiply(line.getQty());
 	                    }
 	                    else
-	                    {
+	                    {	                    	
 	                    	p_Error = "Resubmit - No Costs for " + product.getName() + " (required order line)";
 	                        log.log(Level.WARNING, p_Error);
 	                        return null;
@@ -438,9 +449,17 @@ public class Doc_InOut extends Doc
 					
 					if (costs == null || costs.signum() == 0)
 					{
-						p_Error = "Resubmit - No Costs for " + product.getName();
-						log.log(Level.WARNING, p_Error);
-						return null;
+						//ok if purchase price is actually zero 
+						if (orderLine != null && orderLine.getPriceActual().signum() == 0)
+                    	{
+							costs = BigDecimal.ZERO;
+                    	}
+						else
+						{
+							p_Error = "Resubmit - No Costs for " + product.getName();
+							log.log(Level.WARNING, p_Error);
+							return null;
+						}
 					}
 				} 
 				else
diff --git a/org.adempiere.base/src/org/compiere/acct/Doc_MatchInv.java b/org.adempiere.base/src/org/compiere/acct/Doc_MatchInv.java
index 9450906b0d..ef47927faa 100644
--- a/org.adempiere.base/src/org/compiere/acct/Doc_MatchInv.java
+++ b/org.adempiere.base/src/org/compiere/acct/Doc_MatchInv.java
@@ -205,27 +205,9 @@ public class Doc_MatchInv extends Doc
 				if (log.isLoggable(Level.FINE)) log.fine("Line Net Amt=0 - M_Product_ID=" + getM_Product_ID()
 					+ ",Qty=" + getQty() + ",InOutQty=" + m_receiptLine.getMovementQty());
 
-				//  Invoice Price Variance
-				BigDecimal ipv = dr.getSourceBalance().negate();
-				if (ipv.signum() != 0)
-				{
-					MInvoice m_invoice = m_invoiceLine.getParent();
-					int C_Currency_ID = m_invoice.getC_Currency_ID();
-					FactLine pv = fact.createLine(null,
-							m_pc.getAccount(ProductCost.ACCTTYPE_P_IPV, as),
-							C_Currency_ID, ipv);
-					pv.setC_Activity_ID(m_invoiceLine.getC_Activity_ID());
-					pv.setC_Campaign_ID(m_invoiceLine.getC_Campaign_ID());
-					pv.setC_Project_ID(m_invoiceLine.getC_Project_ID());
-					pv.setC_ProjectPhase_ID(m_invoiceLine.getC_ProjectPhase_ID());
-					pv.setC_ProjectTask_ID(m_invoiceLine.getC_ProjectTask_ID());
-					pv.setC_UOM_ID(m_invoiceLine.getC_UOM_ID());
-					pv.setUser1_ID(m_invoiceLine.getUser1_ID());
-					pv.setUser2_ID(m_invoiceLine.getUser2_ID());
-				}
-				if (log.isLoggable(Level.FINE)) log.fine("IPV=" + ipv + "; Balance=" + fact.getSourceBalance());
-				facts.add(fact);
-				return facts;
+				cr = fact.createLine (null, expense, as.getC_Currency_ID(), null, Env.ONE);
+				cr.setAmtAcctCr(BigDecimal.ZERO);
+				cr.setAmtSourceCr(BigDecimal.ZERO);
 			}
 			cr.setQty(getQty().negate());
 			temp = cr.getAcctBalance();