# BOM cost calculation question

Hello

Can someone help us understand the Bom Cost logic. We’ve been struggling with this for quite some time now.
We are using avg cost.
As you can see from the picture, Average Unit Cost and Last unit cost are 117.7500.

Total Bom Cost is 107,71582. How is BOM cost calculated?
Its not the same as Part Avg material and burden costs. We just cant understand where those numbers come from, and which should we use as the correct BOM cost.

Juhan, doesn’t 88,71473 + 19,00109 = 107,71582?

Ah, I misunderstood the question, here comes the king @Banderson

Look at the last job that you used to make the parts, and look at how much labor is on the job, and compare that to what you have set in your operation standards. I’m pretty sure this is calculating based on what you tell the system it takes to make it. But if you spend more time on the job than the standard calls for, the average and last cost reflects that.

And, it looks like the issue isn’t labor, it’s material, but the same still applies. Check your issues to the job.

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Perfectly put @Banderson

The only thing that would probably help to make it more clear is a written example of that logic in action (with the math) and how the BOM cost would deviate from average cost given a job’s outcome highlighting the difference between the operation and material standards in the method and what actually happened on the job.

But I’m sure OP can do that.

Money post @Banderson

There is this screen in the job tracker screen which will show you estimates vs actual. This is based on what’s in the job, which is a copy from the master, if you’ve gotten details from the master. Just be aware that the job standards can be messed with on the job, and it’s a copy at the time details were pulled from the master, so later updates don’t change what’s on the job standards.

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