In the past, the minimum production quantity field did not influence the unit cost of an item. In some cases, there are cost savings when producing a higher quantity of an item if there are fixed costs that can be amortized across a higher quantity of units.
This new price will be reflected on the estimated costs on the BOM/Routing on quote, sales order, and items. This will allow you to have more accurate costs and reduce inflated pricing on items. You’ll also see a small note on the bom/routing cost breakdown indicating that a minimum production quantity is being used in the calculations.
Another thing to note with this change is that when an MPQ is set on an item and ‘make’ subcomponents used in that item will inherit the parent item MPQ unless the subcomponent already has an MPQ equal or greater to the parent.