Intercompany trade price corrections

In various intercompany trade scenarios, the intercompany price is sometimes changed after the transaction lines are created. The intercompany price is based on the price of the originating object, such as the external sales price or purchase price.

If the price of the originating object is changed after the transaction lines are created, LN creates a new transaction line. For the new transaction line, the Correction check box is selected in the Intercompany Trade Order Transaction Lines (tcitr3110m000) session. The old transaction line is saved as the parent of the new transaction line.

Also, for the new transaction line the Parent Transaction Line field displays the position number of the parent transaction line. The origin of the intercompany price correction is displayed in the Correction Origin field of the Intercompany Trade Order Transaction Lines (tcitr3110m000) session.

Example- scenario External Material Delivery Sales

For a sales order, the external sales price is EUR 200. The intercompany price is based on the external sales price, but has a 10% markdown percentage. Therefore, the customer must pay EUR 200 to the sales office, and the sales office must pay EUR 180 (200 - 10%) to the warehouse that delivers the goods to the customer.

After shipment, the sales price is reduced to 150. This means that the customer pays only EUR 150, and the sales office owes the warehouse EUR 135 (150 – 10%).

Consequently, these transaction lines are created:

Transaction line 1 displaying the original intercompany sales price of EUR 180.
Transaction line 2 displaying the intercompany sales price correction of EUR - 45. For this transaction line, the Correction check box is selected and the Parent Transaction Line field shows the position number of Transaction line 1.

Example- scenario Internal Material Delivery

In this scenario, a correction is made for a transfer order if fewer items are received than shipped. For example, if 10 items are shipped and 8 items are received, there is a shipment variance of two items. Only 8 items can be invoiced.

In the Inventory Handling Parameters (whinh0100m000) session, you can specify whether the issuing or the receiving warehouse is responsible. If the issuing warehouse is responsible, a new child transaction line is created displaying the subtracted value of the two items that were not received.