Cost price per lot size

This feature calculates the cost price of an item using setup and runtime costs while defining different lot sizes.

The multi-level material cost calculation of Microsoft Dynamics 365 Business Central ignores the possibility of production cost reduction caused by higher production volumes in the lower levels. In Microsoft Dynamics 365 Business Central, the (standard) cost price of a child item determines the cost price of the parent item. Cost price per lot size takes the actual production costs of the child items into account. You can add resources to the structure as part of the calculated production costs.

This function is available from the ProjectBudget and planning lines and the Item card:

Steps - Project budget and planning lines

In this context, use the page to calculate the project cost for a modified production BOM in a project:

1. From the ProjectBudget or planning line, open the Production BOM group and select the Cost Price per Lot Size action.

2. The Cost Price per Lot Size page opens with the quantity from the ProjectBudget or ProjectPlanning line as the initial calculation.

3. Adjust the lot size and select Calculate to recalculate the line.

4. You can also add a new line with another quantity and recalculate.

5. When satisfied with the calculation, select the Update ProjectBudget Line action to update the project unit cost in the ProjectBudget line.

   Note
   The Project Unit Cost and Project Total Cost fields are only available on the ProjectBudget line.

Steps - Item

1. Choose the icon (Alt+Q) and type Items.

2. Select a production item with a production BOM and click Edit to open the card.

3. Select the Action tab and locate the Cost Price per Lot Size action.

4. Create one or more lines with different lot sizes as required.

5. Click Calculate in the ribbon.

6. When the calculation is correct, mark one of the lines as Standard Lot Size and use the Update Item action to copy the lot size and cost settings to the Item card.

   Note

   • The calculation depends on the cost settings in the work and machine centers. Pay extra attention to these settings when resources are integrated with the capacity centers. The calculation can be repeated as many times as required.

   • The calculation for resources looks at the Resource Cost table for the resource and takes the work type into account when retrieving the price:

     • First with the resource code.

     • When not found, with the resource group code.