Default Pricing

Configuration menu > Parts > Price Level > Default Pricing

The Default Part Prices window opens showing the global Cost Plus Multiplier (CPM) matrix.

This window displays the default CPM matrix for all of R.O. Writer. All the settings on this window are global for CPM. Any changes you make on this window apply globally to wherever the CPM is used and applied.

The Default Part Prices window.

Setting the Pricing Levels

The Pricing Levels for each columns are created in the Price Level Descriptions Configuration setting.

A different margin can be set for each of the five pricing levels. The price is calculated as follows: (Average Cost multiplied by the Multiplier value entered here).

There are three categories for each pricing level: Multiplier, % Profit, and % Markup. When you change one of these categories within a pricing level, R.O. Writer calculates the other two values.

For instance, if you type in the Multiplier number, the % Profit and % Markup values change to match that number.

The % Profit and % Markup values in one price level changing because the Multiplier value is changed.

As a result,


The Multiplier value is numeric in the following format: “XXX.XX”.

The Multiplier value is multiplied by the average cost of the part to determine the price.

% Profit

The % Profit is the percentage of profit for this level.

% Markup

The % Markup is the percentage of markup for this level.

CPM as the Pricing Method

If you select the Use Cost Plus Multiplier (CPM) option as the pricing method for parts in inventory or outside purchases,

Setting the Minimum Margin

The minimum margin is a global setting and applies to all matrices.

The minimum margin is a percentage even though a percent symbol (%) does not appear.

The minimum margin is the percentage of profit that no sale should fall below. It should be set several percent lower than the retail margin. As a starting guideline, set the minimum margin about 1.5 to 2.0 percentage points lower than what is set for the retail margin.

Minimum Margin Warnings

R.O. Writer calculates the margin

Pricing Levels for Parts Departments

The Parts Departments window for all parts departments contain the Pricing Level and Minimum Margin sections as well.

The Parts Department window with the Price Levels and Minimum Margin sections circled.

You can enter different values for each parts department. When the parts in the department are sold, these values override the defaults. This allows you to customize your sales per department for those parts you need to sell at a higher or lower profit margin.