# Epicor Quote Price and Quantity Break Calculator

> Source: https://netray.co/tools/epicor-quote-price-quantity-break-calculator
> Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems.
> Section: Free Tools

## Short answer

Build a unit price from material, labor, setup and subcontract cost, hit a target margin, and see how the price falls with quantity.

## Category

epicor

## Erp

Epicor Kinetic

## Industry

Job Shop

## Audience

- Estimator
- Sales engineer
- Job shop owner

## Tool

**Kind:** calculator

**Inputs:**

#### Material cost per unit

**Key:** material

**Type:** number

**Default:** 22

**Min:** 0

**Step:** 0.5

**Unit:** $

#### Outside processing per unit

**Key:** sub

**Type:** number

**Default:** 3.5

**Min:** 0

**Step:** 0.25

**Unit:** $

**Help:** Plating, heat treat, anodize or similar.

#### Run hours per unit

**Key:** labor_hrs

**Type:** number

**Default:** 0.25

**Min:** 0

**Step:** 0.01

**Unit:** hours

#### Burdened rate per hour

**Key:** labor_rate

**Type:** number

**Default:** 95

**Min:** 0

**Step:** 1

**Unit:** $/hour

**Help:** Labor plus machine burden from the resource group.

#### Setup hours per lot

**Key:** setup_hrs

**Type:** number

**Default:** 3

**Min:** 0

**Step:** 0.25

**Unit:** hours

#### Setup rate per hour

**Key:** setup_rate

**Type:** number

**Default:** 85

**Min:** 0

**Step:** 1

**Unit:** $/hour

#### Quote quantity

**Key:** qty

**Type:** slider

**Default:** 50

**Min:** 1

**Max:** 500

**Step:** 1

**Unit:** units

#### Target gross margin

**Key:** margin

**Type:** slider

**Default:** 30

**Min:** 0

**Max:** 80

**Step:** 1

**Unit:** %

**Outputs:**

#### Run cost per unit

**Key:** run_cost

**Expr:** material + sub + labor_hrs * labor_rate

**Format:** currency

#### Setup cost per lot

**Key:** setup_total

**Expr:** setup_hrs * setup_rate

**Format:** currency

#### Fully loaded cost per unit

**Key:** unit_cost

**Expr:** run_cost + setup_total / qty

**Format:** currency

**Primary:** true

#### Unit price at target margin

**Key:** price

**Expr:** unit_cost / (1 - margin / 100)

**Format:** currency

**Primary:** true

**Description:** Price = cost divided by one minus margin.

#### Equivalent markup on cost

**Key:** markup

**Expr:** (price / unit_cost - 1) * 100

**Format:** percent

#### Extended quote value

**Key:** ext

**Expr:** price * qty

**Format:** currency

#### Gross profit

**Key:** profit

**Expr:** ext - unit_cost * qty

**Format:** currency

**Chart:**

#### Unit cost and price vs quantity

**Type:** line

**X:** qty

**From:** 1

**To:** 500

**Steps:** 40

**Series:**

- unit_cost
- price

**Currency:** $

**Disclaimer:** Gross margin is profit as a share of price. Markup is profit as a share of cost. They are not interchangeable.

## Content

**Intro:** Quoting a job shop part comes down to two ideas: spread the setup over the lot, and apply margin correctly. This calculator does both, and its chart shows the quantity break curve you can use to fill the quantity columns on an Epicor quote.

**Sections:**

#### How to use it

**Body:** Enter material and outside processing per unit, run hours and the burdened hourly rate from the resource group, then the setup hours and rate for the lot. Choose the quote quantity and the margin you must earn. Read the price per unit, then drag the quantity slider to see the price at each break. Copy the unit prices for the quantities you want to offer into the quote lines, or into a quantity-break structure in Epicor Quote Entry.

**Bullets:**

- Quote several quantities, not just the one asked for
- Add scrap or yield loss to material before entering it
- Include inspection and packaging in the run hours

#### Margin versus markup

**Body:** A 30 percent markup on cost is a 23 percent margin on price. Quoting 30 percent markup when the business needs a 30 percent margin leaves money on the table on every order. The formula here divides cost by one minus the margin, which guarantees the margin you type is the margin you earn. The markup output shows the equivalent value so you can talk to people who think in either terms.

#### Why the price drops with quantity

**Body:** Setup is a fixed cost for the lot, so it falls per unit as quantity rises, while material and run cost stay flat. In the default example, one unit carries over 250 dollars of setup, while at 500 it is under 60 cents. The curve is steep at small quantities and flat beyond a certain point, which tells you where additional break points stop being worth offering.

#### Common mistakes

**Body:** Estimators often under-count setup hours for first-time parts, or forget outside processing minimum charges and freight. Material price quotes also expire, so check the date on them. Finally, remember that a quote built on a standard routing is only as good as the resource group rates behind it; if the rate is stale, every quote is skewed in the same direction.

**Cta:** If you want quotes priced automatically from historical job cost in Epicor, with a reviewer in the loop, we can scope that with you.

**Faq:**

#### Can I enter several quantity breaks in Epicor?

**Answer:** Epicor quotes support multiple quantities on a quote line, each with its own price. Use this tool to compute the unit price at each quantity and enter them. Verify against how your version handles quantity breaks.

#### What margin should I target?

**Answer:** It depends on your overhead structure and market. Many job shops target between 25 and 40 percent gross margin on price after burden. Use your historical average from closed jobs as a baseline.

#### How is margin different from markup?

**Answer:** Margin is profit divided by price; markup is profit divided by cost. A 25 percent margin equals a 33 percent markup. Mixing them up is a very common quoting error and this calculator shows both.

#### Does it include scrap?

**Answer:** Not separately. Increase the material cost per unit and run hours to cover expected scrap or yield loss, or divide by the expected yield before entering the values.

## Search terms

epicor quote pricing, job shop quote calculator, quantity break pricing calculator, markup vs margin calculator, epicor quote entry, machine shop quoting calculator, setup cost amortization per piece

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