Purpose: Use this screen to define whether to prorate coupon amounts and dollar discounts by source code or offer across items on the order.
Yes/no field: Select this field if you want to prorate dollar discounts and coupons across items on an order. This setting has the effect of ensuring that refund amounts are based on the actual price the customer paid for the item, after taking all applicable discounts.
If this field is selected:
• Any dollar discount by source code or offer appears in the Discount bucket on the order totals fields, rather than as a negative additional charge, as well as reducing the selling prices of items. See .
Leave this field unselected if you do not want to prorate coupons and dollar discounts. When select the Reprice option in order entry:
• Any source code or offer dollar discount is added to the order as a negative additional charge. In this case, when you process a return against the order, the refund amount does not reflect the source code or offer dollar discounts. Also, the system does not write an Order Transaction History record regarding the application of the negative additional charge. See for more information on setting up a source code dollar discount.
The system applies the coupon amount entered through the window, plus any applicable dollar discount for the source code or offer, to each line on a pro-rata basis. Promotion discounts set up with a Discount amount, but without specifying an Additional charge code are also prorated this way.
extended amount of the detail line before applying discounts / discountable order merchandise total = discount percentage
pre-discount unit price of the detail line - [(total discount amounts to prorate * discount percentage from above calculation) / line unit quantity] = unit selling price
An order has a discountable merchandise total of $50.00, including a single line of four units at $10.00 each. The total discount amount to prorate is $5.00.
40.00 / 50.00 = .80%
10.00 - [(5.00 * .80) / 4] = 9.00
40.00 / 50.00 = 80% (extended amount of detail line divided by discountable order merchandise total)
5.00 * 80% = 4.00 (total discount to prorate * discount percentage from above calculation)
4.00 / 4 = 1.00 (divide the result by the line unit quantity)
10.00 - 1.00 = 9.00 (subtract the result from the pre-discount unit price to determine the unit selling price)
When you process a return, the system uses the unit selling price to calculate the refund. When you process an exchange, the system presents the option of using the unit selling price for the exchange; see the description of the system control value.
Note: There may a rounding discrepancy on the total discount applied to an order when you prorate against the order lines if the amounts do not divide evenly. This discrepancy should be no more than a few pennies. The likelihood of the rounding discrepancy occurring increases if there are multiple discounts that apply to an order, such as a promotion percentage discount and a dollar discount by source. You might notice this rounding discrepancy when you review the order history message, as described below.
The system writes a message to the Order Transaction History table when it prorates a coupon or dollar discount amount against an order.
Date Type Transaction Note Amount User
8/16/08 MAINT TOTAL PRORATED DISCOUNT 5.00 ELEANOR_K
You can display order history by selecting Order History in standard order inquiry or at the Work with Order Lines screen in Order Maintenance, or by selecting History in streamlined order inquiry. See the for more information.
For more information: See: