The following provides an example of how costs are calculated using the Standard Hours algorithm.

1.       Create a Facility and assign an hourly rate. In this example the Facility Name is “Cal Lab Inc” and the hourly rate is $50.

2.       The Facility owns two Assets with IDs of 5500A-101 and 5500A-202.

The Procedure associated with the Asset type (5500A) is called “FundingExample” and is displayed on the Type screen.

The “FundingExample” procedure states 5 standard hours, a standard price of $125, and ISO cert Fee of $75.

3.       Create a Job Number for the Facility “Cal Lab Inc”. Specify that the costing will be based on “Standard Hours” by selecting the Standard Hours option and with an amount of $10,000.

4.       Receive Asset 5500A-101 into the Servicing Lab by selecting the Receiving menu option and then Processing the Asset. Notice the Job Number is brought into the Receiving screen.

5.       Open the Work Order that was created during the receiving process. In this example, the Work Order number is “2013000003”. Enter a Service Date, Due Date, and Procedure Used (“FundingExample”). Select the Save button.

6.       A Work Order can only be returned if the Status is “Complete”. Create a Log Note, select “Complete” as the Status, and save the Work Order. Now select the Return button.

·         The Return screen displays a cost of $200 which is derived from the Std. Price and in this case the ISO Cert Fee from the FundingExample procedure.

o   Calculation = $125 (Std. Price) + $75 (ISO Cert Fee) refer to step #2.

·         Uncheck the ISOCert check box on the Work Order and the Returning cost = $125 (Std. Price).

o   Calculation = $125 (Std. Price)

·         With the ISOCert check box unchecked, add 2.5 hours of Labor to the Work Order by going to the Labor/Files tab and selecting the green “+” button on the left side at the bottom of the screen. Select the Return button and the Returning cost = $250.

Note: The dollar amount on the labor record WILL NOT change once saved even if the labor rate changes. To adjust the dollar amount the labor record must be deleted and reentered.

·         Change the Std. Price on the “FundingExample” procedure to $0, keep the ISOCert check box unchecked on the Work Order, the Return screen displays a cost of $375.

o   Calculation = 5 (std hours)* $50 (customer rate) + 2.5 (labor hours on Work Order) * (customer rate)

o   If the Customer hourly rate is removed from the Facility screen, this calculation remains the same because the labor was added prior to the Customer hourly rate being removed.