Effective Price

[dharmveer]

HI,

Please tell me what is effective price with respect to PO , actually when we making the PO , system giving the meaasge that effective price is some different .

Please calrify me how system calculates eefective price

Thanks In Advance

Dharmveer

[dharmveer]

We closing

[former_member187989]

End price after taking all conditions (for example, cash (prompt-payment) discounts, delivery costs etc.) into account.

[Former Member]

Hi mate,

Effective price is the net price + freight costs/surcharges.

Net price is the gross price + discounts.

Now the system calculates the effective price from the pricing procedure which is assigned to the purchase org and vendor.

In that the system takes into consideration the step number of the net price and the step number of the other applicable freights and surcharges and calculates the effective price from it.

[Former Member]

Hi

Effective price is the end price after taking all conditions (for example, cash (prompt-payment) discounts, delivery costs etc.) into account

The net price (that is the price including the vendor's discounts or surcharges).

The gross price (that is the price excluding discounts or surcharges). You maintain the conditions for the item. The net price is then calculated by the system.

Regards

Antony