Replacement cost

Replacement Cost is the per-unit cost of acquiring inventory from a given supplier and is used as the default cost on purchase orders. Sterling Order Management System Software represents replacement cost as the published price list of the supplier.

Replacement Cost is stored within Sterling Order Management System Software in a structure that can vary the per unit cost by:

  • Supplier
  • Date

This is called the Vendor Price List.

The Sterling Order Management System Software provides the capability to use replacement cost in the following ways:

  • As the default unit cost on purchase order lines. This can be overridden manually.
  • As the base cost for unit cost calculations.