Office items

Who Can Use It?	Where Is It?
Director System Administrator	Practice > Rates

Description for the office item will appear when estimating budgets, when allocating to a sub project and on project reports and invoices.

The estimated cost per item e.g. how much will each item cost the company including overhead.  The cost you nominate will calculate on the financials of the sub project and reports under the 'Cost' headings.  This figure is not invoiced to the client.  The difference between the cost and rate/item (charge) is the profit.

Example

An A0 print will be charged out at $8.00.  There are 3 options to work out the cost. 

1. Work backwards - deduct your profit margin from the $8.00 - this will be the cost. E.g. with a 25% profit margin, the overhead cost would be $6.40. 
2. Work out real cost - determine a cost per A0 plot including toner, lease costs per page, paper cost per page etc.
3. What would it cost you to print it outside of the office? this would be the cost/item - then add your profit margin and add the cost/item - this would go in the Rate/Item field.

The A0 plots cost is $2.46 and the charge is $8.00.  The profit value here will be $5.54 per item each time it is used.

The estimated charge out rate per item.  If a drawing charge out is $5.00 and you use 5 drawings on a sub project, the charge to the client will be estimated at $25.00.

When the cost and charge are first set for a new office item rate, the effective date will set automatically to the date of creation.  Though when changing the office item rate you will have the ability to set an effective date.

An effective date sets the item cost and charge from a particular date. All Transactions allocated to the item prior to the new effective date will be calculated using the previous cost and charge and all transactions allocated from the effective date will be calculated at the current cost and charge - until such time a new effective date is set.