How Standard Quantities are Calculated in BOM Content provided by Microsoft Applies to: Dynamics GP 2010Dynamics GP 2013Microsoft Dynamics GP 2015Dynamics GP 2016 More Select Product Version All Products TechKnowledge Content Issue How are Standard Quantities calculated in Bill of Materials?Resolution The scrap percentage is the percentage of the component amount (standard quantity) that is expected to be unusable for the assembly. Therefore, the standard quantity is calculated with this formula:Standard Quantity = Design Quantity / (1 - Scrap Percentage)For example, suppose you’re assembling an item that requires 100 cm of wire. You anticipate that 10% of the wire will be scrapped. Using the formula, the standard quantity is 111.11, because 111.11 minus ten percent equals 100, the quantity of wire actually needed for each assembly.Standard quantities are rounded up when necessary. For example, suppose the scrap percentage for a widget is 5 percent, and that the design quantity is three widgets. The calculated standard quantity would be 3.16 widgets. You can’t use 0.16 widgets, however, so the standard quantity—because widget quantities are tracked with zero decimal places—would be rounded to 4.2 other examples:=Design quantity = 1Scrap percentage = 10%Standard Quantity = 21 / (1 – .10)1/.90 = 1.11 which rounds to 2 Standard QuantityDesign quantity = 1Scrap percentage = 90%Standard Quantity = 101 / (1 - .90)1/.10 = 10 Standard QuantityThis article was TechKnowledge Document ID: 28731 Keywords: kbnosurvey kbarchive kbMBSPartner kbMBSMigrate BemisKB858271 Last Updated: 13 Jun 2017 Was this information helpful? Yes No Tell us what we can do to improve the article Submit Thanks! Your feedback will help us improve the support experience.