External Production (Subcontracting) Pricing

Pricing that is set up on subcontracting work centers is considered in the Calculations. Depending on the needed quantity, the Unit Costs and Amounts of the subcontracting routing lines will use the values from the purchase price list in the Calculation lines.

If the subcontracting work centers use external service items, the pricing from the external service item is used in the calculation instead of the work center pricing. For example, if the unit cost of the work center is "60.00" but the unit cost of the external service item is "50.00", the unit cost of "50.00" from the external service item is used. The external service item information is available in the Document BOM and Construction Order line.

Note

Resources that use external service items with external assembly are handled the same way. External service item information is available in the Assembly document line.

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