Core product pricing

When a new or remanufactured core product is purchased by a customer, the implied core charge is automatically entered on a separate line, so that the price and cost of the implied core product are recorded separately from the new or remanufactured product.

If you make any cost adjustments for core products, it is possible that inventory and the General Ledger go out of balance because the standard logic is overridden. When there is a difference between what you paid for the dirty core product (the amount you credit the customer for the dirty core product) and the market cost defined by the Cost Used for Market Cost on Implied/Dirty Cores option in SA Administrator Options-Products-Costs and specified on the Product Warehouse Product Setup record, the variance is posted to the IC Adjustment GL account.

You can access an order in change mode and make a change to the unit, but a change to correct the unit price on the lines if the Override option is not set according to the standard sales pricing routine. Therefore, if you are changing the unit, make sure to reflect the correct core price on the lines. You can only change the price on implied core lines. The unit is dependent on the unit entered for the associated remanufactured core product.

Remanufactured core product

When you enter a remanufactured core product on a purchase order, the cost is determined by the SA Administrator Options-Documents-Purchase Orders-Entry Defaults Use Last Cost During Entry or Use Replacement Cost During Entry option, as for any standard product.

The price you charge a customer is based on the standard pricing hierarchy.

Implied core product

The implied core market cost refers to the cost charged by the vendor and priced on the purchase order. The cost type you specify for the SA Administrator Options-Products-Costs Cost Used for Vendor PO Cost on Implied/Dirty Cores, where Vendor Core Chg option is Yes, defaults the corresponding cost that is recorded on the product’s Product Warehouse Product Setup record to purchase orders. If the vendor does not charge for cores, then zero defaults to the purchase order line item.

The customer’s price of an implied core product is calculated with the same price hierarchy that the price of the remanufactured core product is calculated.

Dirty core product

The dirty core cost is specified on the SA Administrator Options-Products-Costs Cost Used for Vendor PO Cost on Dirty Cores, where Vendor Core Chg option is No, determines the cost that defaults to the return purchase order when the vendor ignores core charges. If the vendor charges for cores, the cost is based on the selection of the Cost Used for Vendor PO Cost on Implied/Dirty Cores, when the Vendor Core Chg option is Yes.

Dirty core products that you return to the vendor for credit initially display the SA Administrator Options-Products-Costs Cost Used for Vendor PO Cost on Dirty Cores, and Vendor Core Chg Yes or No selection when you create the return. After you allocate the implied core charge to the dirty core return, the price on the purchase order is changed to the price of the implied core charge you allocate it to.

Dirty core products that customers return are valued at the selling price of the implied core charge you allocate it to, rather than the prices on the Product Warehouse Product Setup record. This prevents you from giving the customer an incorrect credit for the returned dirty core and causing an out-of-balance condition or correction. Since you establish a tie between the dirty core product and the implied core, you cannot change the allocation in change mode or an error displays.

Discounts and job types

When you return a dirty core product, the discount from the original implied core line is carried forward to the return. If the original implied core line has a warranty job type, it is discounted at 100%. If you change the dirty core return from warranty to a billable job type, the dirty core return still carries the 100% discount.

If you do not want the discount on the dirty core return, change the implied core line that the dirty core return is allocated to, and then change the dirty core. Both the implied core line and the dirty core return will have the same job type and same discount.