Item Price

 

Item Price

Item Price is a record utilized to specify the selling and/or buying rate of an item in ERPNext. It accommodates various pricing scenarios such as various currencies, price lists, UoMs, customer/supplier-based pricing, and validity periods.

1. Creating an Item Price

There are two methods for creating an Item Price:

 

1. From the Item Price list:

 

Selling / Buying / Stock > Items and Pricing > Item Price > New

 

2. From the Item Master:

 

Stock > Item > [Select Item] > "+" next to Item Price

 

Steps:

 

  1. Select the Item. The name, default UoM, and description will be retrieved automatically.
  2. Select the Price List (for example, Standard Selling, Standard Buying, or a custom price list).
  3. Enter the Rate.
  4. Set up optional fields as necessary (see below).
  5. Save the record.

2. Fields and Options

 

2.1 Price List

 

  • Specifies the category of prices for selling, buying, or both.
  • Associated with a currency and applicability.
  • You can have multiple price lists based on different regions, currencies, or customers.

 

2.2 Unit of Measurement (UoM)

 

  • Price is always associated with a specific UoM.
  • By default, the primary UoM of the item is used.
  • In case of a transaction involving a different UoM, ERPNext automatically adjusts the price using the UoM Conversion Factor.

 

2.3 Packing Unit

 

  • Determines the quantity per package.
  • Example: Packing Unit = 2, UoM = Nos → 1 unit in the transaction means 2 pieces.
  • Can also be a decimal (e.g., 1.5 Kg oats per bag).

 

2.4 Minimum Quantity

 

  • Only applicable if the transaction quantity is as least as much as this minimum.
  • Useful for bulk pricing.

 

2.5 Customer/Supplier Specific

 

  • Selling Price List > give price to a particular customer.
  • Buying Price List > give price to a particular supplier.
  • Guarantees negotiated rates are only used for that party.

 

2.6 Batch Specific Pricing

 

  • Associate the Item Price with a batch.
  • When this batch is picked in a transaction, the associated price gets automatically applied.

 

2.7 Validity Period

 

  • Valid From: Automatic default to creation date.
  • Valid Upto: Date after which the price is no longer used.

 

2.8 Lead Time in Days

 

  • Estimated duration for which the product would reach from the supplier.
  • Facilitates varying prices with varying delivery times.

 

2.9 Notes

 

  • Free text field to include remarks or Special instructions regarding the price.

3. How ERPNext Uses Item Price in Transactions

When a transaction is posted (e.g., Sales Order, Purchase Order, Invoice):

 

  1. ERPNext verifies the chosen Item and Price List.
  2. Looks for the UoM or converts using the UoM Conversion Factor.
  3. Verifies against minimum quantity, customer/supplier restrictions, and validity dates.
  4. Fetches and applies the correct rate automatically.

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