Job Costing in Season Version 15 and above (Example Job costed with Packaging)
Consider the following Job,
Products Used:
| Product Code | Batch | Quantity | Weight | Unit Cost | Total Cost |
| RibRawGradeA | J26476 | 400 | 400 | 1 | 400 |
Products Produced:
| Product Code | Quantity | Weight | Sales Price | Sales Value | Unit Stock Cost | Stock Cost | Non Stock Cost Price | Non Stock Cost Value | Packaging Cost | Final Cost |
| RibsCooked1 | 400 | 400 | 1.95 | 780 | 1.0724 | 407.8 | 0.03 | 12.00 | 21.88 | 428.96 |
| RibsCooked2 | 5 | 5 | 1.95 | 9.75 | 1.0724 | 5.07 | 0.03 | 0.15 | 0.27 | 5.34 |
Cost of Products in to the Job – The Stock Cost
For this job the Stock Cost in is 400. Is is simply the cost of all the products going in to the job.
Adding on Non Stock Costs
In order to get accurate costing we need to include other costs that don’t come from stock items e.g. Simple Labour costs
This additional value is set in the ‘Labour Cost’ field against the product in Product Setup. (For more in depth labour costing it is recommended that additional products are step up for each type of labour cost)
| Product Code | Quantity | Weight | Non Stock Cost | Non Stock Cost Value |
| RibsCooked1 | 400 | 400 | 0.03 | 12.00 |
| RibsCooked2 | 5 | 5 | 0.03 | 0.15 |
| Non Stock Total: | 12.15 |
The total cost booked in to the job is then the Stock Cost + the Non Stock Cost:
400 + 12.5 = 412.15
Costing the Products Produced
In this example, we have a total cost based on the products booked in of 412.15.
This is then to be spread over the products produced in the job based on the percentage of the total sales value for each product. So if the product has a higher sales value it will get more of the cost allocated to it.
| Product Code | Quantity | Weight | Sales Price | Sales Value | % Sales Value |
| RibsCooked1 | 400 | 400 | 1.95 | 780 | 98.77% |
| RibsCooked2 | 5 | 5 | 1.95 | 9.75 | 1.23% |
| Total Sales Value: | 789.75 |
The cost for the products produced is roughly the Total Cost In multiplied by the % Sales Value, but the actual calculation works as follows:
We need to work out the coefficient to spread the cost. This is done as follows:
((Total Sales Value – Total Cost Value)/Total Sales) * (100)
Inputting our figures so far, we get:
((789.75 – 412.15) / 789.75) * (100) = 47.8126
We then calculate the co-efficeient by:
((100 – 47.812598)/100)
= 0.521874
For each product, we then take the sale price multiplied by the coefficient to give the unit cost. We can then use the unit cost multiplied by the Quantity or Weight to arrive at the total cost.
| Product Code | Quantity | Weight | Sales Price | Unit Cost | Total Cost |
| RibsCooked1 | 400 | 400 | 1.95 | 1.95 * 0.52187402 = 1.01765433 | 400 * 1.01765433 = 407.08 |
| RibsCooked2 | 5 | 5 | 1.95 | 1.95 * 0.52187402 = 1.01765433 | 5 * 1.01765433 = 5.07 |
Adding on the packaging costs
The final part of the costing process would then be to add on the packaging costs for the items produced. The packaging products are set up in the ‘Packaging’ tab of Product Setup for each finished product.
So, for example, if RibsCooked1 had 2 packaging items :
| Product Code | Quantity Packaging To Issue | Unit Cost | Total Cost |
| PlasticContainer | 40 | 0.183 | 7.32 |
| PlasticWrap | 40 | 0.364 | 14.56 |
| Packaging Costs | 21.88 | ||
| Stock Costs | 407.08 | ||
| Total Costs | 428.96 |
Similarily for RibsCooked2,
| Product Code | Quantity Packaging To Issue | Unit Cost | Total Cost |
| PlasticContainer | 0.5 | 0.183 | 0.09 |
| PlasticWrap | 0.5 | 0.364 | 0.18 |
| Packaging Costs | 0.27 | ||
| Stock Costs | 5.07 | ||
| Total Costs | 5.34 |