Price Matrixes

With a price matrix, an item’s selling price is updated by calculating a markup based on where the item’s cost (the amount the vendor charges you) falls within a set of ranges. For example, you could use a matrix to calculate a 30% markup for items that cost between $1 and $100 and a 20% markup for items that cost between $100 and $200.

Note: A markup is an amount that’s added to an item’s cost. Matrix price changes are calculated with the next cost for items. If an item doesn’t have a next cost, its last cost is used for the calculation instead.

Working with price matrixes includes the following steps. First, create your matrixes. For each matrix, define one or more cost ranges and the percentages or dollar amounts by which selling prices will change. Next, assign the matrixes to items. A price matrix can be assigned to individual items or a group of items. Then update prices. For this step, there is nothing for you to do. Prices are updated upon the assignment of a matrix and when the cost of items is changed as they’re being received into inventory.