Adding burdens

Burdens are the cost of production, such as labor, utilities, and machine setup. You can assign types to each burden to determine the method by which the total cost of the burden is calculated.

Burdens are assigned to finished goods to determine non-inventory production costs.

  1. Select Administration.
  2. On the Items tab, click the Kit Items and Components link.
  3. Open a make-to-stock kit item.
  4. On the Burdens tab click Create.
  5. Select a Burden Code.
  6. Specify this information:
    Flat Amount
    Specify the flat amount cost for the burden.
    Amount Per Unit
    Specify the quantity of the finished good multiplied by the number of units that are required.
    Percent
    Specify the percentage of finished good inventory cost, which is the total of all inventory components.
    Tolerance Percent
    Specify a tolerance percent.
    Vendor
    Select a vendor.
    UOM
    Select a unit of measure.
    Zero
    Select this check box if zero tolerance is allowed for burden cost tolerance checking.
  7. Click Save.