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Fear's Firebrand: This +2 lawful flaming
longsword was made by the church of Xvim, the former god of tyranny,
and was originally called the Tyrant's Fire. When Xvim was subsumed
by his father Bane, the new god of tyranny and fear, the church of Bane
added the ability to command the sword to cast fear once per day
and renamed it. The hilt and crossguard are made of steel that appears
corroded but is actually smooth, and in the hilt is set a spherical green
emerald. The weapon's flames are bright green.
Caster Level: 9th; Prerequisites: Craft Magic Arms and Armor, fear,order's wrath, flame blade/flame strike/fireball, creator must be lawful; Market Price: 70,315 gp; Cost to Create: 35,315 gp + 2,800 XP.
The item has a base plus of +2, lawful is +2, flaming is +1, for a total of +5, for 50000 gp.
Fear once per day is spell level 4 (I'm assuming a mage worked on this and not a bard, because far more mages than bards serve Bane) x caster level 7 (the minimum) x 1800 (command word) divided by 5 (once per day), for 10080, which I'll round off to 10000 to make the math prettier and easier. Any additional properties on a magic weapon that aren't plus-based have their cost doubled, so this becomes 20000.
Total magic price is 50000 + 20000, or 70000 gp.
Half of that is the cost to create, or 35000 gp.
1/25 the magic price is the XP cost, or 2800.
Add in the 315 gp for a masterwork longsword and you get the final costs.
Note that I have some of the prerequisites listed as flame blade/flame strike/fireball just to let you know that you choose one of those (serial prereqs followed by a list of prereq options is sorta confusing in text sometimes). It's not WotC house style to do it that way, but I think it helps.