Cost Rollup Factors

To correctly roll up costs from components to parents, two  factors are used.

·     The Quantity Per value held on the product structure defines the quantity of the component required to make one batch of the parent.  If the batch quantity is one, then the quantity per defines the quantity of the component required to make one of the parent.  Otherwise the batch quantity per must be divided by the batch quantity to obtain this figure.

·     The Product Structure Scrap Factor held by the part is used to further expand the quantity per of the component to allow for anticipated losses through scrap.