Costing Basis

Acumatica values stock items using the 'average costing' method. This means that the assigned cost of any item is the average of the actual cost of all the items in all the warehouses at this moment in time. This also means that when there is no stock there is no average cost.

Acumatica also tracks a value called 'last cost' which is the cost of the last item to be receipted into stock (either purchased or manufactured). This value persists regardless of current stock levels, however it is more susceptible to variations in cost on that individual receipt, for example if ad-hoc order of 1 item comes in when normally items are ordered in larger volumes for price advantage.

It is also possible to manually enter a value for 'last cost' which allows for a cost to be set even when the item hasn't previously been ordered/manufactured.

Minimum Markup Rules

From the stock item record it is possible to define a value for 'Min Markup %', which will apply some validation on sales order and quotes and raise a warning when the markup requirement isn't met. Note: this is a warning, not an error, so it does not prevent sales orders or quotes being raised which do not meet this requirement.

The markup % value is based on the 'average cost' value if one is available, or if not it is based on the 'last cost' value. 

It is applied as a markup over and above the cost of the item, based on the percentage of the item cost, so 0% is at-cost, 100% is a sales price which is double the cost price, 200% is triple the cost price, etc.