Sales Contract Prices (tdsls3103m000)

Use this session to view, enter, and maintain sales contract price revisions.

Note
  • To enter price revisions in this session, the Contract Prices in Use check box must be selected in the Sales Contract Lines (tdsls3501m000) session.
  • If the price revision's status is Active, you cannot delete the price revision.
  • If the Allow Zero Price check box is selected in the Sales Contract Parameters (tdsls0100s300) session, you can enter a price of zero (0) on the price revision.
  • If you update an active price revision, the Generate Retrobilled Price Change Advice (tdsls3270d000) session can automatically be started.

 

Contract
Sales contracts are used to register agreements about the delivery of goods with a sold-to business partner .

A contract is comprised of the following:

  • A sales contract header with general business partner data, and optionally, a linked terms and conditions agreement.
  • One or more sales contract lines with price/discount agreements and quantity information that apply to an item or price group.
Line
The contract line's number.
Sales Office
A department that is identified in the company business model to manage the business partner's sales relations. The sales office is used to identify the locations that are responsible for the organization's sales activities.
Item
The raw materials, subassemblies, finished products, and tools that can be purchased, stored, manufactured, and sold.

An item can also represent a set of items handled as one kit, or which exist in multiple product variants.

You can also define nonphysical items, which are not retained in inventory but can be used to post costs or to invoice services to customers. The examples of nonphysical items:

  • Cost items (for example, electricity)
  • Service items
  • Subcontracting services
  • List items (menus/options)
Line
The number that identifies the sales contract price revision.
Contract Prices status
The price revision's status.

You can assign a status to each sales contract price revision through the following commands:

  • Activate
    Changes the price revision's status to Active.
  • De-activate
    Changes the price revision's status to Free. You can update price revisions that have this status.
Effective Date
The revision's effective date date, which must fall between the sales contract line's effective date and the expiry date.
Note

Because revisions have only a start date, only one revision can be effective at a time.

Price
The contract price for the line item.
Note
  • This field is unavailable if a price book code is specified in the Price Book field.
  • If the Material Pricing in Sales check box is selected in the Material Price Parameters (tcmpr0100m000) session, this price can include material base prices.
Currency
A generally accepted medium of exchange such as coins, treasury notes, and banknotes.

The following currency types are available in LN:

  • Home currency, which is used internally by companies to calculate costs, record budgets, and register tax amounts
  • Transaction currency, which is used in transactions with business partners, such as orders and invoices
Sales Price Unit
The item unit in which an item's sales price is expressed. This unit can differ from the item's inventory unit.
Price Book
The price book that is used by the sales contract price revision to retrieve prices.

If you link a price book to a sales contract price revision, the following conditions are mandatory:

  • The Used for Contracts check box must be selected for the price book in the Price Books (tdpcg0111m000) session.
  • The price book's effective date, as displayed in the Effective Date field of the Price Book Lines (tdpcg0131m000) session, must be the same as or fall before the Effective Date in the Sales Contract Lines (tdsls3501m000) session.
  • The price book's expiry date, as displayed in the Expiry Date field of the Price Book Lines (tdpcg0131m000) session, must be the same as or fall after the Expiry Date in the Sales Contract Lines (tdsls3501m000) session.

Therefore, date breaks in the sales contract price revision are determined by the contract, while the price book determines the quantity breaks.

Book Price
The price for the item according to the price book, increased by an upgrade price if applicable. The default price for an item is stored in the default price book.
Note

If the Material Pricing in Sales check box is selected in the Material Price Parameters (tcmpr0100m000) session, this price can include material base prices.

Material Price
The sales contract line item's total material price.
Note

Because a contract line cannot have material price surcharges, this field shows the total material base price.

Discount Percentage
The item's single discount percentage which applies to the total amount.

You can enter more levels of discount percentages for the price revision in the Price and Discounts (tdpcg1600m000) session. To start this session, click Price and Discounts from the appropriate menu. The value entered in the Number of Discount Levels field of the Pricing Parameters (tdpcg0100m000) session determines whether you can define a maximum of five levels of discount in the Price and Discounts (tdpcg1600m000) session.

Note

You can enter a discount percentage only if the Discount Amount and Discount Schedule fields are empty.

Multi LevelDiscount
If this check box is selected, a multi-level discount is applied to the sales contract price revision.
Discount Amount
The single discount amount of the item. This single discount amount applies to the total amount.

You can enter more levels of discount amounts for the price revision in the Price and Discounts (tdpcg1600m000) session. To start this session, click Price and Discounts on the appropriate menu. The value entered in the Number of Discount Levels field of the Pricing Parameters (tdpcg0100m000) session, determines whether, in the Price and Discounts (tdpcg1600m000) session, you can define a maximum of five levels of discount.

Note

You can only enter a discount amount if the Discount % field and the Discount Percentage Discount Schedule field are empty.

Discount Code
A method to indicate the reason a discount is granted. For example, you can grant a discount because the customer orders large quantities. If you grant a discount or if you add a surcharge to a sales invoice, you can enter a discount code to indicate the reason.

Surcharges and discounts can be the result of the following:

  • Standard discounts
  • Surcharges
  • Payable commissions
  • Payable rebates
Discount Schedule
The discount schedule that is linked to the sales contract price revision.

If you link one or more discount schedules to a sales contract price revision, the following conditions are mandatory:

  • The discount schedule must be Used for Sales Contracts.
  • The discount schedule line's effective date, as displayed in the Effective Date field of the Discount Schedules (tdpcg0121m000) session, must be the same as or fall before the Effective Date in the Sales Contract Lines (tdsls3501m000) session.
  • The discount schedule's expiry date, as displayed in the Expiry Date field of the Discount Schedules (tdpcg0121m000) session, must be the same as or fall after the Expiry Date in the Sales Contract Lines (tdsls3501m000) session.

Therefore, date breaks in the sales contract price revision are determined by the contract, while the discount schedule determines the quantity breaks.

You can link more levels of discount schedules to the price revision in the Price and Discounts (tdpcg1600m000) session. To start this session, click Price and Discounts from the appropriate menu. The value in the Number of Discount Levels field of the Pricing Parameters (tdpcg0100m000) session determines whether you can define a maximum of five levels of discount in the Price and Discounts (tdpcg1600m000) session.

Note

If you specified a value in the Discount Percentage or Discount Amount fields, you cannot enter a discount schedule.

You can specify discount schedules in the Discount Schedule (tdpcg0612m000) session.

Agreed Quantity
The quantity that must be delivered according to the contract agreements. The contract quantity must always be greater than zero.
Note

The agreed quantity must be between the minimum contract quantity and the maximum contract quantity.

Quantity Unit
The unit in which the quantity is expressed.
Agreed Quantity
The quantity that must be delivered according to the contract agreements. The contract quantity must always be greater than zero.
Inventory Unit
The unit of measure in which the inventory of an item is recorded, such as piece, kilogram, box of 12, or meter.

The inventory unit is also used as the base unit in measure conversions, especially for conversions that concern the order unit and the price unit on a purchase order or a sales order. These conversions always use the inventory unit as the base unit. An inventory unit therefore applies to all item types, also to item types that cannot be kept in stock.

Discount %
The percentage that you can subtract from the gross sales price or purchase price.
Discount Amount
The discount amount resulting from the order line discount. This amount is calculated as follows:
Order Line Discount Amount = Quantity * Price * Order Line Discount/100

The calculation result is rounded. The order line discount amount is always expressed in the order/quotation currency.

Currency
A generally accepted medium of exchange such as coins, treasury notes, and banknotes.

The following currency types are available in LN:

  • Home currency, which is used internally by companies to calculate costs, record budgets, and register tax amounts
  • Transaction currency, which is used in transactions with business partners, such as orders and invoices
Net Amount
The total value of the goods recorded on the contract.
Calculate Price with Cumulative
If this check box is selected, LN retrieves the price and discounts from the price book and discount schedules based on the contract line's total called quantity.

The sales price/discount that is retrieved from the sales contract price book/discount schedule, is based on the following calculation:

Contract called quantity + Sales order/schedule line quantity (converted to the unit of 
the contract line's agreed quantity)
Note

This functionality only applies if a price book/discount schedule is linked to the contract.

Example

The sales contract price book that is entered on the sales contract line is defined as follows:

Break (maximum)Qty UnitPrice
10pieces30
20pieces20
30pieces10

 

The following sales order lines are created:

Order lineOrder quantityContract called quantity (before order line is saved)Quantity for price determinationPrice (from price book)
150530
21055 + 1020
3101515 + 1010

 

Redetermine Price and Discounts at Shipment
If this check box is selected, and a sales schedule is linked to this contract line, sales schedule line prices and/or discounts are recalculated during shipment. Therefore, the delivered amount of the shipped goods reflects the actual contract price revision information.

Prices and discounts are redetermined based on the value of the sales schedule line's Payment field, as shown below.

  • Pay on Receipt
    Prices and discounts are recalculated when a shipment is made for a sales schedule planned warehouse order line. Price and discount redetermination is based on the delivered quantity, inventory unit, and actual delivery date.
  • Pay on Use
    Prices and discounts are recalculated when a consumption is processed for a sales schedule planned warehouse order line. Price and discount redetermination is based on the consumed quantity, inventory unit, and consumption date.

If this check box is cleared, and a sales schedule is linked to this contract line, the price and discounts cannot be redetermined after the sales schedule is approved and planned warehouse orders are created.

Note
Revision Text
If this check box is selected, sales contract price revision text is available.
Sold-to Business Partner
The business partner who orders goods or services from your organization, who owns the configurations you maintain, or for whom you perform a project. Usually a customer's purchase department.

The agreement with the sold-to business partner can include:

  • Default price and discount agreements
  • Sales order defaults
  • Delivery terms
  • The related ship-to and invoice-to business partner

 

Activate
Activates the sales contract price revision and changes its status to Active.
De-activate
De-activates the sales contract price revision and changes its status to Free.