Calculation Categories

It is possible to create and assign categories to all products in a kitchen build. These categories allow users to adjust pricing factors, such as Sell or Buy price, in turn, fine tuning the sales margins.

On the Main Essential Kitchen tab, there is a button to access Price Calculation Categories.

To use:

1. On the main Essential Kitchen component tab, click the Price Calculation Button
2. A dialog box containing the default categories appears. These categories are referred to as the Product Type. i.e.- Sinks, Worktops, Cabinetry
   1. These categories can be customized per manufacturer

Price Factors

A price factor is a numerical value representing a percentage for the markup or margin on categories. The price factor is based on the Sell or Buy Index, where the Index is represented by a value of 1:

1 = 0%, no markup or margin, by default

<1 index value = <100%, used to discount

>1 index value = >100%, used to add markup

The Sell and Buy Index values are easily seen reflected in Calculations when the Margin % and Markup % columns are in the Article View.

You can change both the Sell Index and Buy Index values to fine-tune the overall pricing for the customer.

Examples of Changing the Price Factors

This example shows the effect on the Buy price, Margin %, and Markup % when making the Buy Index <1 - reducing the Buy price to 60% of list, creating a Margin % of 40% and Markup % 66.67%.

This example shows the effect on the Sell price, Margin %, and Markup % when making the Sell Index <1- increasing the Sell Price by 20% (Margin %), creating a Markup of 25%.

This example shows the effect of changing both the Sell and Buy Indexes. The Buy Index was reduced resulting in a discount on the Buy price. The Sell Index was increased resulting in a markup to the Sell price. The overall Margin% and Markup% are automatically calculated.