Recalculating Transfer Price

Oracle Supply Chain Financial Orchestration recalculates a new transfer price in these scenarios:

• When a backordered shipment line is fulfilled in a shipment flow.
• When a backordered transfer order shipment line is fulfilled in an internal transfer flow.
• When global procurement receipts occur in partial quantities.
• When drop ship receipts occur in partial quantities.

The transfer price for each event is recalculated based on the cost and markup percentages applicable at the time of the transfer price calculation, resulting in an accurate transfer pricing based on the latest cost and setup data. Oracle Cost Management uses the recalculated transfer price to process the intercompany transactions.