Acquisition cost (without VAT) is calculated as a weighted average cost (CMP). The stock movements that can change the acquisition cost are: Invoice, Production or Transfer.
The formula for calculating the weighted average cost is as follows:
CMP = [(Initial Stock * Initial CMP) + (Increase * Unit Price)] / (Initial Stock + Increment)
On a Production movement, the unit price at which the produced item enters stock is not entered manually: Ebriza calculates it as the sum of (each ingredient's average purchase cost multiplied by its quantity in the recipe), divided by the produced stock item's unit quantity. The recipe total is the cost of one full batch, and dividing it by the unit quantity brings it down to a single produced unit. Details and examples are in the article “How I make production?”
The current CMP of a stock can be seen in:
Stock Management - Stocks
The Average purchase cost column indicates the RON value of a unit (PCS, KG, L, etc.) in the stock.
Configuration- Product recipe
Here you will see the CMP of each good/ raw material in the recipe, and if you click on it, you will be able to follow the evolution of the CMP on that stock:
For more details on tracking the CMP of a stock in Ebriza, click here.
The Unit Price in the formula is not the figure on the invoice as you see it, but the price converted to your unit of measure: the unit price on the invoice line, excluding VAT and after the line discount, divided by the stock item's Quantity per unit.
This is why the average purchase cost of goods bought by the case or by the bottle is normally a different number from the price shown on the invoice — a case of 24 pieces invoiced at 120 lei results in 5 lei per piece.
If you think the goods were added to inventory at the wrong price, first check the conversion: see the article “The goods were added to inventory at a different price than the invoice: why this happens and how to check it.”
[tags: average purchase cost, how to calculate, unit price, cmp]