Cost Summary

The Cost Summary tab displays detailed costing information for a part or an assembly. It provides Current, Previous, and Last Saved information. The Cost Summary tab includes:

Cost type		Description
Variable Costs	Material	The cost of the material used to manufacture the part. Includes allocation of scrap material wasted during manufacturing. Does not include consumable material, such as weld wire or adhesives, only primary material.
	Labor	The cost of labor needed to manufacture the part or assembly. Usually includes hourly wages and benefits.
	Direct Overhead	Costs associated with machine operation, such as the machine's power costs, depreciation, or maintenance, based on time.
	Batch Setup (amortized)	The cost configuring a machine to run a batch of a given design (accounts for machine downtime and labor incurred). The cost is amortized to individual parts or assemblies by dividing by the number of components in a batch.
	Logistics	The cost of transportation between supply chain facilities.
	Material Overhead	Overhead costs associated with the purchase and storage of material, as well as with moving material to the work center.
	Expendable Tooling	The cost of tooling, such as a drill bit or turret press punch, consumed during manufacturing of many different parts.
	Additional Direct Costs	Other miscellaneous costs not accounted for in above categories. The default value is zero.
	Extra Costs	A “placeholder” line item to be used for miscellaneous costs. The default value is zero but your VPE may be customized to use this field to capture specific types of costs and relabeled as needed (see the aPriori Administration Guide, Managing Cost Taxonomy Display Labels).
	Other Direct Costs	The subtotal of Expendable Tooling, Additional Direct Costs, and Extra Costs.
	Total Variable Costs	The sum of all cost items above, Total Variable Costs is the marginal cost associated with making “one more” part of a give design. This includes all Variable Costs associated with the creation of a part but does not include depreciation of capital tooling.
Period Costs	Period Overhead Allocations	Period or indirect overheads are expenses that are expensed each financial period (factory depreciation, light bills, SG&A) that cannot be associated or amortized to a specific design.
Margin	Margin	The profit margin charged on each part/assembly. Calculated by multiplying a margin percentage value by the sum of the above costs. The margin percentage defaults to 0 in the Regional Data Libraries but can be configured by customers.
Piece Part Cost	Piece Part Cost	The sum of all cost items above, Piece Part Cost is cost of making a part, including margin if applied but excluding Fixed (tooling-related) Costs.
Fixed Costs	Hard Tooling (amortized)	The cost of capital or hard tools that are needed to manufacture one specific design and cannot be used to create other designs.
	Fixture Cost (amortized)	The cost of devices that hold a specific part or assembly in the correct orientation on a machine during manufacture or assembly. These devices are not supposed to be re-used for a part or an assembly of a different design.
	Programming Cost (amortized)	The cost of creating a computer program that Computer Numerical Control (CNC) machines will follow to make or assemble parts of a specific design.
	Additional Amortized Investments	Other miscellaneous costs not accounted for in the above categories.
	Total Amortized Investments	The sum of all fixed costs. Fixed costs must be incurred before the start of manufacturing. In aPriori, all fixed costs are amortized to the individual part or assembly by dividing the total, up-front cost for the fixed cost (the capital cost) by the Total Product Volume.
	Fully Burdened Cost of Assembly Processes	The sum of Piece Part Cost and Fixed Costs for the Assembly Processes. This cost applies only to assemblies.
	Fully Burdened Cost of Subcomponents	This is the total of the Fully Burdened Costs for all the first level children (parts and assemblies) of the top-level assembly or roll-up. This cost applies only to assemblies.
	Fully Burdened Cost	For parts, the sum of Piece Part Cost and Fixed Costs. For assemblies, the sum of Fully Burdened Cost of Assembly Processes and Fully Burdened Cost of Subcomponents. For Roll-ups, the sum of Piece Part Cost and Fixed Costs for all first level children (parts, assemblies, roll-ups). (See A note about Fully Burdened Cost).
Capital Costs	Hard Tooling	Capital or hard tools are purchased for creating one specific design and cannot be used to create others. The Capital Cost is the price to buy one set of the tooling.
	Fixture Cost	The cost of devices that hold a specific part or assembly in the correct orientation on a machine during manufacture or assembly. These devices are not supposed to be re-used for a part or an assembly of a different design. The capital cost is the price to buy one set of the tooling.
	Programming Cost	The cost of creating a computer program that Computer Numerical Control (CNC) machines will follow to make or assemble parts of a specific design.
	Total Capital Investments	Capital investment is the total amount a company must invest in fixed costs before the first part or assembly can be made. This cost is 'fixed' because the company incurs the cost whether it makes one part or the total number of parts allowable before tooling must be refurbished or replaced.