Computes and maintains the (approximate) average cost basis for items purchased and crafted.
Whenever an item is purchased, either from a vendor or from the AH, the cost is recorded. Whenever an item is crafted, the cost for it is computed based on the cost of the reagents. Similarly, when items are prospected, milled, or disenchanted, the resulting items' costs are computed.
The cost basis for items is displayed in the items' tooltips. The goal is to help price items for sale based on exactly how much they cost to create.
- Buy 2 Saronite Ore on the AH for 50s each. The cost basis for Saronite Ore is recorded as 50s.
- Smelt the ore to get 1 Saronite Bar. The cost basis for the bar is recorded as 1g.
- Buy 20 Crystallized Earth on the AH for 40s each, and then convert them into Eternal Earth. The cost basis for each Eternal Earth will be 4g.
- Transmute one Eternal Earth into Eternal Shadow. The cost basis for the Eternal Shadow will be 4g as well.
- Finally, buy an Eternal Water on the AH for 1g and then craft an Eternal Belt Buckle. The cost basis for the buckle will be 10g.
All of this happens automatically as you shop and craft. When the time comes to sell, the cost basis is displayed on each item's tooltip and serves as a guideline for pricing the results.
This addon was inspired by real world cost basis accounting. For more information see http:en.wikipedia.org/wiki/Cost_basis. The calculations are based on the "average cost single category" method.