---
schema_version: "1"
id: 3e3be11beae8aec8df0e29ef598cf022508ebfd85f995471d0707dbf659fb749
title: Defining Cost and Margins
collection: admin
version: current
locale: en-us
portal_url: https://docs.salesforce.com/admin/current/en-us/ind/264-0-0/comms_defining_cost_and_margins.md
canonical_url: https://help.salesforce.com/s/articleView?id=ind.comms_defining_cost_and_margins.htm&release=264.0.0&type=5
source_site: help.salesforce.com
content_type: documentation
content_hash: 661d3ca47f1cb6233069eec8788a677bfefb40a87ca260e18e83af87fcd9da26
description: Follow these basic required steps to define cost and margin ranges. Each step provides more information about enabling, configuring, and using this feature.
products:
  - Communications
  - Media
  - Energy and Utilities
release: "264"
---
# Defining Cost and Margins

Follow these basic required steps to define cost and margin ranges. Each step provides more information about enabling, configuring, and using this feature.

1. Enable the cost and margin feature. See [Enabling Cost and Margin](https://help.salesforce.com/s/articleView?id=ind.comms_enabling_cost_and_margin.htm&release=264.0.0&type=5 "You can enable the cost and margin feature using the Vlocity CMT Administration Console. When you enable this feature, it creates metadata to define the cost and margin. A special variable related to cost and margins is enabled. You can view and use costs in Industries Cart. When you disable this feature, any quotes, opportunities, or orders using costs become invalid. Salesforce recommends that you do not disable this feature after you have enabled it.").
2. Create a pricing element for price and cost and then configure the price for your product.
3. Configure a cost for your product. See [Define Costs in the Pricing Designer](https://help.salesforce.com/s/articleView?id=ind.comms_define_costs_in_the_pricing_designer.htm&release=264.0.0&type=5 "Similar to the way you define a price for a product, you can define costs for a product. Adjustments and overrides do not apply to costs.").
4. View the cost and margin in the Industries CPQ Cart.
    
    ![Note](https://sf-zdocs-cdn-prod.zoominsoftware.com/tdta-ind-comms_media_energy_managed-264-0-0-production-enus/ff4079f6-a384-475c-b863-578bbbb0ef9b/images/icon_note.png)
    
    Note
    
    Margins are calculated automatically after you configure the price and the cost for your product.

- **[Enabling Cost and Margin](https://help.salesforce.com/s/articleView?id=ind.comms_enabling_cost_and_margin.htm&release=264.0.0&type=5)**  
    You can enable the cost and margin feature using the Vlocity CMT Administration Console. When you enable this feature, it creates metadata to define the cost and margin. A special variable related to cost and margins is enabled. You can view and use costs in Industries Cart. When you disable this feature, any quotes, opportunities, or orders using costs become invalid. Salesforce recommends that you do not disable this feature after you have enabled it.
- **[Create a Pricing Element for Costs in the Pricing Designer](https://help.salesforce.com/s/articleView?id=ind.comms_create_a_pricing_element_for_costs_in_the_pricing_designer.htm&release=264.0.0&type=5)**  
    A pricing element is the base element of a Price List. It can indicate a charge, cost, or adjustment to apply to a Product, Bundle, or Promotion. It consists of a pricing variable that identifies a one-time or recurring charge and a value for different currencies or loyalty points.
- **[Define Costs in the Pricing Designer](https://help.salesforce.com/s/articleView?id=ind.comms_define_costs_in_the_pricing_designer.htm&release=264.0.0&type=5)**  
    Similar to the way you define a price for a product, you can define costs for a product. Adjustments and overrides do not apply to costs.