When BOM versions/formula versions are created, one of the available settings is the From qty/From formula size field. If this is defined, it determines the quantity for which the specified BOM version/formula version is used for production.
A product “Product A” has been created with a BOM that has two versions:
Version 1: A From Qty of 1.
Version 2: A From Qty of 10.
When a works order is created for “Product A” with a production quantity of 5, Version 1 of the BOM will be used. If a works order for “Product A” is created with a production quantity of 20, Version 2 of the BOM will be used.