Summary

This article explains how Solatech Software calculates the pricing for line items in Order Entry.

More Information

We will begin in order entry, and review how pricing is calculated in various scenarios.

Edit Item Price Window

To access the Edit Item Price Window, click on the Edit button, which is located to the right of the Item Price in order entry. For our example below, we have set up a Standard discount group which receives a 20% discount off the retail price (MSRP) We will be giving the customer an additional 20% discount on this line item as well.

• Price is the MSRP
• Customer Discount is the discount amount from the customer's retail discount group.
• Discounted Price is equal to Price minus the Customer Discount amount
• Additional Discount is where the additional discount amount is entered. This can either be a percentage (as shown in this example) or a dollar amount.
• Measure Charge, Installation and Shipping charges are not being added to the item price, as indicated by the N/A.
• Item Price gives us the final amount being charged for this line item.
• Tax is applied to the new price (Discounted Price minus Additional Discount)

Price Breakdown

Next we will look at our Price Breakdown screen, which is accessed by clicking on the question mark bubble, directly to the right of the Edit button in Order Entry. The Price Breakdown will show us how all of these numbers work together.

• Before Discount Retail Unit Price is the MSRP.
• Discount Amount is the numerical value of your Customer's Discount Group.
• Discounted Price is the Before Discount Retail Unit Price minus the Discount Amount.
• After Discount Retail Unit Price is only applicable when there is a product net surcharge, such as some motorization charges, which is not subject to discount.
• Additional Discount is the numerical amount of our additional 20% discount.
• Unit Price subtracts the Additional Discount.
• Rounded Price is applicable if you set your software to round up in preferences. (See section Rounded Prices below)
• Item Price reflects the final price, taking into consideration all of these discount amounts.
• Cost is your price from the vendor. Cost is calculated based upon Vendor Discounts entered in Discount Setup.
• Profit is the difference between the Item Price and Cost.
• Margin gives you the percentage of your profit. Please note that the margin does NOT include any additional charges for measure, installation or shipping.

Product Level Measure, Shipping and Installation Charges

If your software is set to add a Measure Charge, Shipping Charge and/or Installation charge to each product price at the product level, the software does not discount that amount. In the example below, our software is set to add $10 per unit to the product price. The software takes the Additional Discount from the Discounted Price (not the price plus the shipping). The Shipping charge IS included in the taxable amount.

Rounded Prices

If your software is set to round up in preferences, the Additional Discount amount will be taken off PRIOR to rounding up. Tax is calculated on the pre-rounded amount as well. In the example below, the software is set to round up to the nearest $10.

APPLIES TO

• Solatech Window Covering Software 4.2