Question

Cost calculation for non-stock kits, where is the cost?

  • 13 February 2021
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Under Sales Order Preferences>Sales Profitability Settings there is the option “Cost Calculation Basis for Non-Stock Kits” which we have set to ‘Non-Stock Kit Standard Cost Plus Stock Component Cost’   The documentation seems really clear about it’s functionality:

Cost Calculation Basis for Non-Stock Kits The cost the system should use for non-stock kits in sales profitability reports. Select one of the following options:
  • Stock Component Cost: The system uses the sum of the costs of the kit’s stock components.
  • Non-Stock Kit Standard Cost: The system uses the standard current cost of the non-stock kit.
  • Non-Stock Kit Standard Cost Plus Stock Component Cost: The system calculates the sum of the standard current cost of a non-stock kit and the costs of the stock components of this kit.
  The costs of stock components of a non-stock kit are updated on release of the inventory issue generated for the Sales Orders invoice with this non-stock kit. For more information, see Inventory Item Kits.

 

However, every Sales Profitability Report we run has the cost of our kits as $0.  I’ve triple checked that the Inventory Issue created from the Invoice has been released.  This makes reporting on profitability really difficult as most of our Sales Order items have margins of 100% or 0%.  The possible thing I can think of why it is not working is the standard cost of our kits is currently $0.  Shouldn’t it still add the cost of the Stock components?

 

Anyway have any suggestions of experience with this?

 

Thanks

   

1 reply

Hey Noah, 

 

 I hope you are doing well. Yea, the funny thing about Acumatica is that they tend to hide profitability metrics from the Sales Orders screen. Hoping this changes in the future releases because we often need to customize the screen to show net sales, kit costing and gross profit percentages. 

 

With that being said, I believe what you are running into is the Non Stock Kit when added to the Sales Order is showing a 0.00 unit cost on the sales order line.  Acumatica does not display the kit cost in the unit cost field on the sales order line, this is where we be having to customize the screen to show our own “Estimate Kit Cost” field. The “Estimated Kit Cost” field allows you to at least see the cost of the kit which is hidden by Acumatica. Although, just because the Unit Cost in stock Acumatica for this Non Stock Kit is hidden on the SO line, it’s actually using the cost you described in your calculation method behind the scenes. Meaning when you post your invoice the system will pull the standard cost of the kit and the cost of the component items. 

In conclusion, Acumatica needs to do a better job showing cost for Non Stock Kits on the sales order screen. The Unit Cost on the Non Stock Kit is not pulling from the Unit Cost on the SO line but the cost described in your calculation method when you release your invoice. 

 

Hopefully that helps.

 

 

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