Supplier Rebates for Kit Items

This document describes how supplier rebate on sales are applied for kit items.

The statistics level of the kit item is defined in 'Product Structure. Open' (PDS001) and this determines the level on which sales account entries are updated. The statistics level options are: 0-'Not used', 1-'Kit item level', and 2-'Included items level'. This also determines the level of the pending claim and the supplier rebate invoice transaction in 'Supplier Rebate Inv Transaction. Display' (PPS127).

For a promotion type rebate to be valid, the statistics level must correspond to the pricing method level.

If a kit item is not delivered in complete units, it is split upon customer order delivery and treated as individual order lines. For a split kit, the preliminary rebate amount retrieved at customer order entry is always respected, since the final rebate retrieval would not take the kit structure into consideration.

Kit pricing and accounting level

This table shows the different combinations of kit pricing and accounting levels and what it means for the supplier rebate.

Pricing and accounting level Description
Kit with pricing and accounting level on kit header When kit items have the pricing method and statistics level set on the kit header, the rebate is applied to the kit header.

If the full cost sum parameter is set, the preliminary rebate amount is distributed to the kit components based on the cost price factor and is included in the adjusted cost for both the kit item and its components.

Kit with pricing and accounting level on kit components For kit items with kit component pricing and statistics level on the kit components, the rebate is applied to the components.

If the full cost sum parameter is set, the preliminary rebate amount is summarized to the kit header.

Kit with pricing level on kit header and accounting level on kit components For kit items with kit header pricing and statistics level set on the kit component, promotion type rebates are applied to the kit header, and then distributed down to components to indicate the distributed price and rebate.

The pending claim account and the supplier rebate claim invoice records in (PPS127) are created for the kit header, and the kit header item number is shown.

The sales agreement and one-time type rebates cannot be applied to this type of kit, as that could result in multiple rebates being applied to kit components.

Kit with pricing level on kit components and accounting level on kit header For kit items with kit component pricing and statistic levels set on the kit header, sales agreement and one-time type rebates can be applied to the kit header.

If the full cost sum parameter is set, the preliminary rebate amount is distributed to the kit components based on the cost price factor, since it is included in the adjusted cost for both the kit item and its components.

The promotion type rebate cannot be applied to this type of kit, as that could result in different promotions being applied to different components which could then not be accounted for and claimed as a lump sum.