A Calculation Object Model (COM) based on the calculation objects. It can be created using different programming languages and in our case we have used Java on the Eclipse Java platform. These calculation objects resides at server side, which when initiated get the values from the clients and perform the required functions of calculation. The values (data) these COMs gets are stored basically in xml based database of the different Calculation Objects (COs) which act as a client when passing the values forward and as server when getting the values from other objects. In the case of databases, traditional database is always been in practice i.e. RDBMS but due to having a drawbacks xml database has been preferred.COM is semantic description to calculate the costs of things in complex scenarios, where we have many Calculation Objects. When we talk about databases, presently we use a relational database, where everything looks like a table with rows and columns but in reality, however is more complicated than the data to be in table format only. Data that needs to be stored does not always exist in tabular format and required to be benefit from tools that are more closely fits its natural structure. Generally the traditional databases and in particularly SQL databases have been so incredibly successful, that they have completely eliminated the competition. Infect, the relational databases fit a lot of problems very well but they don’t really fit for eXtensible Markup Language (XML) document’s data. Nowadays a great deal of data is being encoded in XML documents and more is being created every day, thus felt the need for something better.