definition item cost
To define item costs: 1  the number of times you expect the activity to occur for the current item during the period the costs are in effect. 2  the cumulative quantity of the item passing through the activity during the same period.ou can modify the Frozen cost type if no inventory transactions have occurred, allowing you to directly set the frozen standard cost for the item. If inventory transactions have occurred, you must define a cost in a cost type other than Frozen and perform a cost update to load a frozen cost for the item.