Is it possible to set up direct manufacturing cost on quantity base?

Dear Experts,

I would like to ask if it is possible to get direct manufacturing cost based on output quantity, not hourly rate.

In our company, although we manage labor working hours, but at the end of the day (also the end of the batch order), we make payment immediately based on the number of products the labor finished.

 

I tried to set the actual price for quantity category and set price of run time category to 0, but it did not work as expected.

Could you kindly give me some advice for my case?

Thank you!

  • In what way did it not work as expected? I've used that approach successfully. You might want to check the settings you've got for the "route group" associated with the route operation, to make sure that it's enabled for costing and scheduling, and if applicable, disable setup/run if you don't intend to use them for that type of work.
  • In reply to Chan Stevens:

    Thank you! You are correct about my lack of settings for "route group".
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