# Infor LN Standard Cost Rollup Calculator

> Source: https://netray.co/tools/infor-ln-standard-cost-rollup-calculator
> Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems.
> Section: Free Tools

## Short answer

Check a single level standard cost build up: material with scrap, setup spread over lot size, run time, labor, machine and overhead.

## Category

infor-ln

## Erp

Infor LN

## Audience

- Cost accountant
- Controller
- LN consultant

## Tool

**Kind:** calculator

**Currency:** $

**Inputs:**

#### Material cost per unit

**Key:** material

**Type:** number

**Default:** 18.4

**Min:** 0

**Step:** 0.1

**Unit:** $

#### Scrap allowance

**Key:** scrap

**Type:** number

**Default:** 3

**Min:** 0

**Max:** 50

**Step:** 0.5

**Unit:** %

#### Setup time per order

**Key:** setup_h

**Type:** number

**Default:** 1.5

**Min:** 0

**Step:** 0.25

**Unit:** hours

#### Run time per unit

**Key:** run_h

**Type:** number

**Default:** 0.12

**Min:** 0

**Step:** 0.01

**Unit:** hours

#### Standard lot size

**Key:** lot_size

**Type:** slider

**Default:** 100

**Min:** 1

**Max:** 1000

**Step:** 1

**Unit:** units

#### Labor rate

**Key:** labor_rate

**Type:** number

**Default:** 32

**Min:** 0

**Step:** 1

**Unit:** $/hour

#### Machine rate

**Key:** machine_rate

**Type:** number

**Default:** 45

**Min:** 0

**Step:** 1

**Unit:** $/hour

#### Overhead on labor

**Key:** oh_pct

**Type:** number

**Default:** 60

**Min:** 0

**Step:** 5

**Unit:** %

**Outputs:**

#### Material with scrap

**Key:** mat_total

**Expr:** material * (1 + scrap / 100)

**Format:** currency

#### Hours per unit incl. setup

**Key:** hours

**Expr:** setup_h / lot_size + run_h

**Format:** decimal

#### Labor cost per unit

**Key:** labor

**Expr:** hours * labor_rate

**Format:** currency

#### Machine cost per unit

**Key:** machine

**Expr:** hours * machine_rate

**Format:** currency

#### Overhead per unit

**Key:** overhead

**Expr:** labor * oh_pct / 100

**Format:** currency

#### Standard cost per unit

**Key:** total

**Expr:** mat_total + labor + machine + overhead

**Format:** currency

**Primary:** true

#### Setup share of conversion cost

**Key:** setup_share

**Expr:** (setup_h / lot_size) * (labor_rate + machine_rate) * (1 + oh_pct / 100) / (labor + machine + overhead) * 100

**Format:** percent

**Chart:**

#### Unit cost vs lot size

**Type:** line

**X:** lot_size

**From:** 1

**To:** 500

**Steps:** 40

**Series:**

- total

**Disclaimer:** A simplified single level model. LN costing also includes subcontracting, surcharges and multi level rollups.

## Content

**Intro:** Before you load cost components in Infor LN, it helps to check the arithmetic on one item by hand. This calculator builds a unit standard cost from the same elements you maintain in item and routing data. It exports to PDF or Excel for review with finance.

**Sections:**

#### How to use it

**Body:** Enter the material cost, scrap allowance, setup and run times, the lot size used for costing, and the labor, machine and overhead rates. The result shows each element per unit and the total. Compare it against what LN calculates for the same item. A gap usually points to a wrong lot size, a missing routing operation or a rate that differs between the costing and the operation.

#### How the cost is built

**Body:** Material is increased by the scrap allowance. Setup time is spread across the costing lot, so small lots carry more setup per unit, which the chart makes obvious. Conversion cost is hours times labor and machine rates, and overhead is applied as a percentage of labor here. Some companies apply overhead to machine hours instead, so adjust to match your policy.

#### Common mistakes

**Body:** Costing at a lot size that production never runs inflates or deflates the standard. Applying scrap in both the BOM and the cost step double counts it. Mixing a rate that already includes overhead with a separate overhead percent also doubles the burden. Document each assumption next to the result when you submit a cost change.

**Cta:** If you need cost differences explained across thousands of LN items, we can build a read-only comparison on your data.

**Faq:**

#### Does this replace the LN costing run?

**Answer:** No. It is a sanity check on one item. The costing run in LN handles multi level BOMs, subcontracting and surcharges. Use this to confirm the logic and to explain a result to finance.

#### Which lot size should I use?

**Answer:** Use the lot size that production actually runs, not the theoretical best. If a cost standard assumes a lot of 500 and the shop runs 50, setup variance will appear every month.

#### How is scrap treated?

**Answer:** Here scrap increases the material cost by the percentage. If your BOM already carries a scrap percent, do not add it again in the calculation.

#### Can I model overhead on machine hours?

**Answer:** You can approximate it by setting the machine rate to include the overhead and the overhead percent to zero. Make sure the same rule is applied everywhere or the comparison will not tie.

## Search terms

infor ln standard cost calculation, ln cost price rollup, standard cost per unit calculator, baan standard cost, setup cost per unit lot size, manufacturing cost build up calculator

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