Period-Specific Conditions in Subsequent Settlement
Definition
Period-specific conditions are used for partial settlement in the case of periodic arrangements.
Use
If conditions are settled periodically, the main condition defines the overall validity period. The validity periods for the individual period-specific conditions must fall within the validity period of the main condition. When determining prices in the documents, the system uses only the period-specific conditions.
Different conditions can be entered for each period. The unit of rebate of the period-specific conditions can differ from that of the main condition. For example, settlement with regard to the main condition can be effected as a percentage, whereas settlement for the period-specific conditions can be effected as a fixed amount in dollars. This is configured via the calculation rule in Customizing for the condition type. When maintaining conditions, you can assign a different calculation rule to the period-specific conditions.
Settlement Calendar
The periods in the period-specific conditions correspond to those in the settlement calendar that is valid for the rebate arrangement. For example, only monthly period-specific conditions are created in the case of monthly settlement. These periods cannot be changed once the rebate arrangement has been set up.
Assumed Values
In the case of scaled conditions, the use of period-specific conditions allows settlement to be effected using assumed values if desired. These assumed values can represent empirical figures or estimates. Thus the assumed value can be used for the purposes of partial settlement in the course of the fiscal year, it is not necessary to take into account which scale level has actually been reached on the basis of the business volume achieved to date. This approach permits a non-fluctuating rebate income to be generated as early as possible within the validity period of a condition.
Scaled Condition
From $100 000 1%
From $200 000 2%
From $300 000 3%
From $400 000 4%
From $500 000 5%
Period-Specific Conditions
1. – 31. January: 3%
1. – 28. February: 3%
1. – 31. March: 3% etc.
Setting the period-specific conditions at 3% reflects the empirical value for the last few years. To date, purchases worth at least $300,000 have always been made from this vendor each year. The advantage of this setting is that settlement is already effected on the basis of 3% over the first few months of the year, even though the business volume does not reach the 3% scale level during this time.
Final Settlement with Respect to Period-Specific Conditions
In contrast to partial settlement within the validity period, final settlement with respect to period-specific conditions takes into account the total business volume achieved over the period, even if partial settlement has already been effected with respect to the conditions in some cases. By taking total figures into consideration, a higher scale level can be reached in the case of scaled conditions (and hence a larger rebate attained). The final sum payable is arrived at after deduction of the rebates already paid in the course of the partial settlements.
In Customizing, you can specify whether final settlement should be effected.