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Supplier Cost Setup

The vendor's net price is rarely your real cost. In the Supplier Cost Setup you store, per vendor (optionally per vendor + item category), the conditions the engine uses to determine the calculated cost. Open the list by searching for Supplier Cost Setup or from the Price Calculation Setup.


Fields and formula

Field Effect
Vendor No. / Item Category The key — the vendor + category combination wins over the plain vendor line
Discount % deduction from the net price (your negotiated discount)
Shipping Cost + Min. Amount freight is added when the (discounted) price is below the free-shipping threshold
Insurance % percentage surcharge on the net price
Enabled only enabled lines take effect
Cost = Net × (1 − Discount %) + Shipping (if below Min. Amount) + Net × Insurance %

The freight threshold is measured against the discounted price — that is the amount the vendor invoices.


Where the conditions apply

  • Sales calculation: as the cost basis of the margin — the price explanation shows net cost and calculated cost separately
  • Purchase price lists: the calculated cost is stored as the unit price of the MC-* line next to the raw net cost (direct unit cost) that flows into purchase orders

Not with the BC cost sources

With the cost sources Item Unit Cost and Purchase Price List the conditions are not applied again — a unit cost or a negotiated purchase line already is the real price. The price list also needs Include Freight Cost switched on for the conditions to apply at all.