Transfer Price Agreements 

Definition

The transfer price agreement documents a price agreed between two WBS elements for a particular service.

Transfer price agreements are only possible between two WBS elements one of which is directly above the other in the hierarchy.

For the evaluation in the information system to make sense, you should assign the WBS elements between different profit centers or subprojects.

Use

You use transfer price agreements to depict the planned cost and revenue views from various responsibility areas in the Project System. You enter the transfer price agreement in the subordinate ("delivering") WBS element; the system automatically records it in the superior ("ordering") WBS element.

Structure

You enter the transfer price agreement as a document. The document header contains data that applies to the whole document. As well as the header, the document includes at least one document item. It is the document item that contains the actual information on the transfer price agreement.

 

You assign the document to a document type, which controls the following: