Support for transaction cost-based sales pricing methods for cataloged products on projects
Important
This content is archived and is not being updated. For the latest documentation, go to Project Operations updates. For the latest release plans, go to Dynamics 365 and Microsoft Power Platform release plans.
| Enabled for | Public preview | General availability |
|---|---|---|
| Users by admins, makers, or analysts | - | 
Mar 17, 2023 |
Business value
This feature greatly improves the ease with which you can bill your customers for the use of catalog products for a project.
This scenario is more prevalent in organizations that use nonstocked materials or cataloged services for projects. For these types of products, the cost of the nonstocked item or cataloged service is not precisely known during the estimation phase. An approximation of the cost and sales price is used during the estimation phase of the project.
During the execution phase, when the nonstocked item is procured and consumed, the actual cost is recorded and the price at which it will be billed to the customers is calculated as a function of this value. In some cases, the sales price is the same as the cost, and in some contracts, the sales price is calculated as a markup in addition to the actual cost incurred.
With the ability to set up sales prices for catalog products, customers can leverage the price defaulting functionality in Project Operations to ensure these products are accurately billed.
Feature details
This feature is applicable to Project Operations Lite and Resource/Nonstocked deployments. The price list items area of a sales price list in Project Operations will have an additional option to set up sales prices for products as a function of transaction cost. Transaction cost is used to reference the actual cost of the product or service that is recorded when a product or service is consumed on the project using a vendor invoice or a material usage log. Price calculation method price list item setup has two additional options:
- At transaction cost
- Mark up over transaction cost
Markup over transaction cost lets you set up a markup percentage that can be used to calculate the sales price of the material transaction by applying a markup over the cost that was recorded on the material usage log or the vendor invoice line.