Adding profit mark up

[Former Member]

Hi,

My client has two company codes under the group. One company code sells goods adding profit mark up of 10% to the other company code. I want to know at which point in the transaction cycle we need to add the mark up?

Thank you

M.K

[Former Member · Accepted solution]

Hi MK,

This will happen at the point of billing, when billing document is raised from one company code to another.

Process to be followed in the selling company:-

1. Create STO

2. PGI

3. Billing

The receiving company will follow the following steps:

1. GR

2. Invoice Verification

Say your product cost is Rs. 100 and the mark up is Rs. 10, then the selling price for the sending compant is Rs. 110 and this price will be maintained in the condition records of STO. Rs. 110 will become the cost for the receiving company.

The mark up or the profitability in the sending company code books for sale to inter company can be seen in COPA.

Br, Kavita Agarwal

[Former Member · Accepted solution]

tnx a lot!!!!!!

[ajaycwa1981]

Hi MK

Please refer the following docs I contributed.. The process will be clear to you, more or less

Regards

Ajay M

[Former Member]

Thank you a lot!!!! It's really a helpful document!!!!!