If a commodity is entered as a component in a production bill of material, you can associate it with a particular commodity class. When the program calculates the cost of a manufactured item from the costs of its components, it determines the cost of the commodity from the assigned commodity class. This lets you calculate the cost of a commodity based on the production process in which that commodity was consumed.
You cannot assign a commodity class to a production BOM line unless the raw material on that line has been designated as a commodity cost item.
Steps
In the search box, enter Formulas, and then choose the related link.
Select the formula that you want to assign a commodity class to.
On the Versions FastTab, select the formula version with the commodity item that will have a commodity class. Make sure the Status field is not set to Certified.
Choose Actions, and then choose Edit Version. The Production Formula Version page appears.
On the Lines FastTab, select the line for the commodity item that will have a commodity class.
In the Commodity Class Code field, enter the commodity class you want to assign to the item.