B1 (Direct Labor)

B1 costs can be calculated as:

• Parent direct labor costs = sum of direct labor calculations for all operations on the item's routing.

• (Operation direct labor cost) = ((operation direct labor hours ÷ operation time basis) × (operation crew size) ÷ (operation cumulative yield percent ÷ 100)) × ((work center direct labor rate) ÷ (accounting cost quantity))

  Note: (Release 9.2 Update) Divide the work center direct labor rate by the accounting cost quantity only if the accounting cost quantity is not zero and time basis is fixed (time basis code is 0).