Cost Center Rates - PV Assisted Setup
Introduction
This window is used to create and maintain the hourly rates for a Configuration or for an individual operation on the Configuration. These hourly rates are essential for calculating Cost prices, Total costs, and Sales prices for all time operations within the company.
Setup
| Field | Description |
|---|---|
| Cost Center Code | Code identifier for the Cost Center. |
| Configuration (Text) | Text identifier for the configuration attached to the Cost Center. |
| Configuration (Code) | Code identifier for the configuration attached to the Cost Center. |
| Rate Type | By a lookup in the field, you may choose between Fixed Rate and Surcharge Rate. - Fixed Rate: Operations are calculated based on the hourly rate matching the setup parameters. This is the most commonly used type. - Surcharge Rate: Adds a surcharge to the base rate for additional configurations. For example, in a rotary machine performing both printing and cutting, a higher rate can be applied for configurations with additional cutting units. |
| Alternative Rates Code | Alternative Rates are used in Additional Rates and Cost Center Rates to define individual rates. |
| Variable Cost | Indicates the amount of fixed variable costs per hour, e.g., for electricity, rags, lubrication, etc. Some companies also include consumables like color and varnish under variable costs. |
| Labor Cost | Labor costs per hour for the selected configuration. For machines operated by multiple people, enter the combined hourly rate for all operators. |
| Direct Cost | Displays the Configuration Cost price, which is the sum of Variable and Labor costs. |
| Overhead | Indicates the Configuration's share of company overhead, such as rent and administration costs. |
| Total Cost | Displays the Configuration Total Cost, which is the sum of Direct Costs and Overhead. |
| Net Profit % | Enter the desired net profit percentage to calculate the Sales Price as: Total Cost + Net Profit %. The percentage is applied to the Total Cost. |
| Price | Displays or allows entry of the Sales Price for the configuration. |
Important Notes
- Enter all relevant information according to your company's operations. If some fields are not necessary, you can leave them as "0".
- Total Cost (with at least Labor Cost filled in) and Price are crucial for accurate estimating.
- After entering all relevant details, click "OK" at the bottom of the page to apply the information into the cost center rates.