This blog series (this is Part II) is designed to help you become more familiar with cost structures in the Sage X3 environment.

In part I, the cost function was used to create a new cost and then selected a cost nature to go with it.

In this part, a new cost structure will be created using Common data, Logistics tables, then the cost that was previously created will be assigned to it. In this example, the calculation mode is “Amount per unit” and because of that, a value must be entered in the Value field, a Currency, and a Unit.

Once the cost structure is created and activated, it is possible to assign it to a range of products, product suppliers, or a specific category. It is also possible to have more than one cost assigned to the cost structure with different calculation modes and different currencies.

After the cost structure has been created, it is possible to assign it to the Product under the Purchasing tab or if a supplier is assigned to the product, the cost structure can be assigned on the supplier tab. However, one cost structure can be used, and the supplier will take presidents over purchasing.

If a purchase order is created for a product with a cost structure assigned on the Purchasing tab, the cost structure will be calculated and displayed on the purchase order Cost tab. The product cost total shows $6.50 ((1.5 unit cost * 1 unit = 1.5)+ 5 CAD fixed cost. Clicking the Total by cost nature will give detailed valuation of the cost nature.