Rebate Calculation on Item Types
You can use any of the supported item types when entering a sales transaction. The system calculates the rebates for every item type specified on the item inclusion of a Rebate Agreement record. See Supported Item Types.
For kits and assemblies, rebates are calculated similar to an inventory item. Kits do not support units, so the conversion rate is always considered as 1. Retailers can set a price for the entire kit which does not have to match the total price of the individual components.
For example, the kit is composed of the parent Home Theater and its components cost $1,274. The kit sells for $1,200. If a rebate agreement with a 10% rebate contains Home Theater in its Item Inclusion, the kit item gets a $120 rebate.
Example Rebate Calculation for Kits and Assemblies:
|
Home Theater |
$1,200 |
|---|---|
|
Receiver |
$198 |
|
Blu-ray player |
$88 |
|
Speakers |
$359 |
|
55" Television |
$629 |
The Derived from Member Items is a cost estimate type that only applies to kits and sums the estimated costs of each item in the kit, based on each of their individual Cost Estimate Types.
You need to disable the Advanced Bill of Materials feature to use this calculation basis for assemblies.
For Item Groups, rebates are calculated for each item within that group. If you update a component of an item group by changing the UOM, Rate, or Quantity, the system recalculates rebates immediately.
For example, the item group Luggage Travel Set is composed of four individual items priced separately. Two out of four items-the 26" Spinner suitcase and 20" Carry-on spinner luggage-are part of item inclusions for a rebate agreement with a 10% rebate.
Example Rebate Calculation for Item Groups:
|
Luggage Travel Set |
- |
|---|---|
|
26" Spinner suitcase |
$90 |
|
0" Carry-on spinner luggage |
$60 |
|
Boarding tote |
$25 |
|
Travel kit toiletry bag case |
$10 |
On the transaction line, only the 26" Spinner suitcase and 20" Carry-on spinner luggage get a $9 and a $6 rebates respectively. The rest of the items from the item group will show zero (0) on the Estimated Rebate Amount or Rebate Amount column.
All calculation methods applicable to an inventory item are applicable to kits and assemblies. For calculation basis on kits, you can only use Item Defined Cost, Rebate Cost, Derived from Member Items, and Transaction Price.