Why does B1 update impact the A1 Cost (in JDE)

Hi there,

To my understanding, the A1 Cost (material cost) of an item is the sum of frozen cost of its components (in case of a BOM) or entered in the Item / Branch screen (in case of standalone item or ingredient). The B1 cost is calculated based on the following formula:

Direct Labor Hours / Time Basis * Crew Size / Cumulative Yield % / UOM Conversion Factor * Direct Labor Rate

I tried to update the B1 cost of an item by setting the Direct Labor Hours to 0.

When i ran the Simulated Cost rollup, the B1 cost was updated correctly (set to 0), but the A1 cost was also affected. The simulated cost of any of the items' components was affected (all components had only A1 cost, which was not updated at that level).