Hi All,
i have questions related to costing & priceing as below,
cost/price from StockManagement>Item Details>Price are different??
Thank You,
Mehul
You should know the difference between cost price and sales price.
Cost Price is the inventory cost of the item(It may include the cost of production)
Sales Price is price with which your are going to sale the item.
The cost price will be calculated by the system - if it is produced item - based on your setups.
When you run the BOM calculation the system will do a calculation - based on your setting it will generate cost price and sales price.They both may be different based on your profit settings.
The sales price in the inventTable is default price - which will pick up during sales order creation.
You can define sales Price at different places.It again depends on the requirement.
If the company have some trade agreements with their customers - you can define salesPrice in trade agreements.
If you have same price for all customer you can define at item level.
If the sales price varies every time based on your production cost - then you can go with BOM calculation.
I would answer this very differently depending upon whether you mean COST or PRICE. As Kranthi says, very different!
ok sorry for confusing you people, i want to know about Sales price in inventTable & Unit Price in Sales order must be same, agree?
but if i click price form itemDetails form then i will get sales price is about 2500,
&
if i click Calculation>BOM Calculation>Transfer to Order at that time for same item i get Unit Price(Sales price for this item ) is 1050…
why this bom calculation results in different values ??
Thank you,
Mehul
No.
The inventory table is the base price, this can be overridden by trade agreements.
Again No.
The BOM Calculation will suggest a sales price based upon the cost and the markup you have set against the calculation group - there are four, you are choosing one on each calcualtion, each item can have a different calcualtion group and therefore uplift. This is a base sales guide based upon known costs, but is ultimately unrelated to the item price or the trade agreements - UNLESS as part of the calculation you choose to update the sales pricing, but most companies have different methods for establishing the price than this calculation.
As adam said the sales price item table and price calculated from BOM calculation may not be same.
sales price in the item table is manual input - which you are saying the system it is the default sales price.
The sales price that is calculated by BOM calculation purely depends on your production setups.
Don’t get confused with too many things…[:)]
1st if i calculate price & cost form iteamDeatils form it will fill bothprice & cost of item according to route & BOM line. and then if i add this item as salesLine the SalesPrice of this item is added to unit Price in SalesOrderLine.
2nd if now after adding this item in salesLine if i do bom calculation as shown below its unit price gets changed!! i wonder about this thing, how this both calculation differs…???
They are different calcualtions. One is order specific, the other is not. The order specific, I believe uses the active costs on the item card, whilst the BOM calcualtion uses the costing version and a fallback principle, you can see there is no costing version selection on your sales line calculation prompt.
You should be able to verify this by looking at the results of both calcualtions, seeing the line difference and analysing why.
Post both complete results as images, it will be easy to spot - it could be the indirects, one is site related to the sales order, the other will depend upon the site chosen to generate the calculation.
Ok i am attaching picture, xactly where is i doubted!
Cost Group:
Summary from ItemDetails
Summary from SalesOrderLine: NOTE: Main Difference in “PBA” CostGroup & “Main Prfl” Cost Group.
Yes so my answer gives you your answer. The cost groups are assigned to the costing version price. The BOM Calculation looks at the costing version, the sales order line ONLY looks at item costs. This is by design for each calcualtion - do not ask me why because I do not know.
ok thank you man, we have to accept it NOW as it is!!
Interestingly mine works. I suggest you look at the parameters for running it and the route, it may also be a hotfix depending upon your version. Therefore it must reference the costing version on indirects and routings, but not on items, but I have not checked this any further.
How is the PBA Cost Group Configured?
