Use

A markup condition is an individual condition, which marks up a base condition and thus changes the base condition. The base condition can be either a standard condition or an individual condition.

The following graphic shows the relationship between the base and markup conditions.

The markup/-down can be absolute or a percentage, so it is necessary to differentiate between absolute and relative markup conditions. It is not possible for a base condition to have both a percentage and absolute markup at the same time.

You can create absolute and relative markups for every condition to which one of the following amount categories is assigned:

Amount Category 105020 Debit Interest

Amount Category 105030 Credit Interest

Amount Category 105040 Overdraft Interest

Amount Category: 115010 – Fixed Amount

Amount Category 115020 Item Charge

Amount Category 115030 Dispatch Expense

Amount Category: 115060 – Pro Rata Amount

For an absolute markup an amount or percentage is added to the base condition. The following table contains examples of how amounts can be added or subtracted (if +/- indicator is negative) to/from charge conditions, and how interest rates can be can be added or subtracted (if +/- indicator is negative) to interest conditions.

For a relative markup the base condition is multiplied by a percentage. The following table shows examples of how the amounts of charge conditions can be multiplied, and how the interest rates of interest conditions can be multiplied.

You can use the condition set of rulesto control which fields of the markup condition have default values or value restrictions. Processing of the markup condition can be restricted using these settings.

For more information, refer to Condition Set of Rules and the Tab Page Editing Set of Rules

You can find information about the validity period of a markup condition being dependent on the validity periods of another individual condition under Validity Periods for Individualization

Prerequisites

You allowed the creation of individual conditions by activating the Individual Conditions attribute in the product. This allows you to create individual conditions for all contracts assigned to this product.

If the base condition is a standard condition, then you created a standard condition in the transaction F9COGR2 (Edit Condition Group) , for which you have defined Absolute Markup or Relative Markup or both as Allowed Replacement Categories on the Set of Rules tab page in the Group Box Allowed Replacement Categories

If the base condition is an individual condition, you create an individual condition in contract processing on the Financial Conditions tab page

Procedure

You have called up the Financial Conditions tab page in contract editing and want to create a markup condition. You called up the Condition Details screen area.

Create an individual condition as described under Edit Financial Condition

The Calculation tab page appears.

To define an absolute mark up, choose the absolute markup value in the Replacement Category field.

You can enter an amount in the Amount field or percentage in the Percentage field, which are added to the amount or percentage of the base condition.

For interest conditions, you can also define the percentage markup as a reference interest rate or define a formula for the percentage using the formula editor.

To define a relative mark up, choose the relative markup value in the Replacement Category field.

You can enter a percentage in the Percentage field, which is multiplied by the amount or percentage of the base condition.

For interest conditions, you can also define the percentage markup as a reference interest rate or define a formula for the percentage using the formula editor.

Result

You defined an absolute or relative markup condition.

Example

Markup conditions for base conditions with differentiation

In the following example you want to define absolute markups that are dependent on the contract total for a credit interest condition that is also differentiated according to the contract amount.

The following differentiations are assumed:

For the following contract totals, the system uses the following conditions:

Markup conditions for base conditions with two differentiations

In the following example you want to define absolute markups that are dependent on the contract total for a credit interest condition that is also differentiated according to the contract amount and term.

The following differentiations are assumed:

For the following contract totals, the system uses the following conditions