Unit Cost Field, Stockkeeping Unit Table

Contains the cost per unit of this SKU.

The program fills in the unit cost field according to what you selected in the Costing Method field for the item:

• If you selected Standard as the costing method, the program fills the Unit Cost field with the value from the Standard Cost field.

• If you selected a costing method other than Standard, the program uses the following calculation for the unit cost:

  Unit Cost = Inventory Value of items on hand (expected cost + invoiced cost) / Quantity on Hand

If you selected FIFO, LIFO, Specific or Average, the program updates the field when you run the Adjust Cost-Item Entries batch job.

With the costing methods other than Standard, the program will also update this field during the posting of purchase invoices if one of the following conditions is true:

• The net invoiced quantity of the item changes from negative or zero to positive.

• The unit cost on the item card is zero.

If one of these conditions is true, the program will update the field with the value in the Last Direct Cost field for the item.

The unit cost of a Stockkeeping Unit is also affected by the setting of the Average Cost Calc. Type in the inventory setup:

• If the Average Cost Calc. Type is Item, then the unit cost of the SKU will be the same as that of the item.

• If the Average Cost Calc. Type is Item&Location&Variant, then the unit cost of the SKU will be affected by the locations and variants.

Parent Tables

See Also

Reference

Stockkeeping Unit

Other Resources

How to: Set Up Stockkeeping Units
Unit Cost Calculation
Costing Methods