How to Set a Markup on a Quote in EDGEBIC

To set a markup on a quote in EDGEBIC by User Solutions you enter a markup percent, then apply it so the system computes the unit price from internal cost. The control lives in the Quote Configuration dialog and in the simulation results window as the Markup % field, paired with the Apply Markup → Unit Price action. Cost-plus pricing means the price tracks your real cost instead of a number you have to keep recalculating by hand.

For the field-by-field creation and pricing walkthrough, read how to build and price a quote. This task is documented behavior of EDGEBIC, and the full task library is in the how-to hub.

Before You Start

• The quote is simulated, or at least has a cost basis. Markup prices from effective cost, so an accurate cost makes the derived price meaningful. Run the delivery-date simulation first when you can.
• The quantity is above zero. The markup calculation divides by quantity and does nothing when quantity is zero.
• You know your target markup, entered as a whole percent (25 for 25%).

Step 1: Open the Pricing Fields

After simulation, open the Quote Details - Simulation Results window, or open the quote in edit mode with the ✏️ (Edit) action. Both expose the Markup % field. The default is 25%.

Step 2: Enter the Markup Percent

Type your markup in Markup %, for example 30. Enter it as a whole number, not a fraction. This stores the value but does not yet change the price.

Step 3: Apply It to the Unit Price

Click Apply Markup → Unit Price. The system computes:

Unit Price = round( effective cost × (1 + Markup % / 100) ÷ quantity, 2 )

Effective cost is the manual cost override when one is set, otherwise the rolled-up labor plus material cost. The Total Price, Estimated Profit, and Estimated Margin recalculate instantly.

Step 4: Save

Click Save. The unit price and the markup percent both persist on the quote.

Worked Example: Cost-Plus vs a Typed Price

Take the documented Widget-A quote: 200 units, simulated cost $9,230. You want cost-plus pricing at the default 25%. You open the results window, confirm Markup % reads 25, and click Apply Markup → Unit Price. The system computes $9,230 times 1.25, which is $11,537.50, divided by 200 units, which rounds to $57.69 per unit. Total price becomes $11,538, and the margin reads 20%, the markup by definition.

Now suppose your estimator had already typed $85.00 as a negotiated price before simulating. Automatic markup would not have touched it, because auto-fill only fires when the unit price is zero. The $85 stands, and the margin computes against it: total price $17,000, profit $17,000 minus $9,230, which is $7,770, and margin 45.7%, which the grid paints green. Cost-plus and a negotiated price coexist cleanly. You reach for Apply Markup → Unit Price only when you want the system to set the price for you.

For an expedite surcharge, change Markup % to 40, click apply, and the unit price re-derives at $9,230 times 1.40, divided by 200, which is $64.61. Save, and the converted order carries the 40% markup so the surcharge is documented downstream rather than buried in a hand-typed number.

What Changes When You Save

Saving stores the derived Unit Price: and the Markup % on the quote. When the quote later converts to a manufacturing order, the order carries the same markup percent and unit price for margin reporting, and you can re-derive the price there from the order's own Cost Analysis panel: see how to apply a markup to a job's unit price. The markup never touches your production schedule or your cost data; it only sets the price side of the margin.

How Markup Interacts With a Manual Cost Override

Markup prices from effective cost, and effective cost is the manual cost override when one is set, otherwise the rolled-up labor plus material cost. This ordering matters when your true cost includes items the simulation cannot know, such as tooling wear, scrap allowance, or freight. Set the manual cost override to the all-in figure first, then apply markup: the price now derives from the real cost, not the simulation's labor-and-material rollup alone.

For the Widget-A quote, imagine the rolled-up cost is $9,230 but you know tooling and freight add $770, for a true cost of $10,000. Enter $10,000 as the manual cost override, set Markup % to 25, and apply: the unit price derives at $10,000 times 1.25, divided by 200, which is $62.50 rather than the $57.69 the rollup alone would have produced. The calculated labor and material split is kept underneath for later variance reporting, so you keep the detail while pricing from reality. Clearing the override returns effective cost to the rollup and the next apply reprices accordingly.

How to Check It Worked

Confirm the unit price now equals your cost-plus number. A quick check: multiply effective cost by (1 + markup ÷ 100), divide by quantity, round to two decimals, and compare. The margin should read the difference between total price and effective cost as a percentage of total price. In the grid, margin above 20% shows green, above 10% amber, and negative red.

Common Mistakes and Gotchas

• Storing a markup is not applying it. Changing the Markup % field alone leaves the price unchanged. The Apply Markup → Unit Price action is the explicit trigger. Click it, or the new percent sits idle.
• A typed price is protected. Automatic markup only fires when the unit price is zero at simulation time. To move a manually entered price back to cost-plus, zero it and re-simulate, or apply markup explicitly.
• Zero quantity is a no-op. The apply-markup logic returns without changing anything when quantity is zero. Set a positive quantity first.
• Percent, not fraction. Enter 25 for 25%. Entering 0.25 prices the quote at a quarter of one percent over cost, which produces a suspiciously low price.

Markup is not only a pricing convenience; it is a record. When the quote converts, the markup percent and unit price ride onto the manufacturing order, so the surcharge or standard margin you chose is documented downstream rather than living only in someone's head. That is why an explicit markup, or an explicit manual cost override, beats quietly typing a higher unit price: the reason is preserved, and the later quote-versus-actual variance report can tell whether the margin held.

If your cost basis is missing overhead the simulation cannot know, such as tooling wear or freight, set a manual cost override before applying markup so the price is built on the true all-in cost. That override is covered in how to see the cost breakdown of a quote.