Would you please look at the order below and let me know if this might be a bug or standard functionality
I think the Total Contr Margin/Base circled in red is calculated as (255+230)*-1 = -485.00
Should it be calculated as (255-230)*-1 = -25 ?
Solved
Total Contr Margin/Base value doesn't appear to be calculating correctly
+9Best answer by Bimsara Geethachapa
Hi Nipun,
As per the F1 help documentation, the contribution margin consists of the difference between the sales price and the inventory value. The contribution margin is based in sales unit. Possible discounts for the customer are also included in the calculations. It is also possible to try extra discounts to determine how the contribution margin is affected. Do this by specifying a discount figure in the Extra Discount field.
The contribution margin is: ((buy quantity due * price conversion factor * base sales unit price * (1 - (discount + defined extra discount) / 100) * (1 - order discount / 100))) - (cost * buy quantity due * conversion factor.)
Contr Margin/Base: The total contribution margin amount for the order/quotation, which is the total net amount minus the total cost, expressed in the base currency.
so here the difference from (-230) to 255 is 485.00
Further
Line wise Contrib Margin/Base: The total contribution margin amount for the line in base currency, calculated as the line net amount minus the line cost. Note that this is an estimation since rebates and charges (e.g. pack size charges, sales promotion charges) are not considered.
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Your cost is negative, so yes it is right, the difference from (-230) to 255 is 485.00. What does negative cost mean? That doesn’t make sense to me.
Hi Nipun,
As per the F1 help documentation, the contribution margin consists of the difference between the sales price and the inventory value. The contribution margin is based in sales unit. Possible discounts for the customer are also included in the calculations. It is also possible to try extra discounts to determine how the contribution margin is affected. Do this by specifying a discount figure in the Extra Discount field.
The contribution margin is: ((buy quantity due * price conversion factor * base sales unit price * (1 - (discount + defined extra discount) / 100) * (1 - order discount / 100))) - (cost * buy quantity due * conversion factor.)
Contr Margin/Base: The total contribution margin amount for the order/quotation, which is the total net amount minus the total cost, expressed in the base currency.
so here the difference from (-230) to 255 is 485.00
Further
Line wise Contrib Margin/Base: The total contribution margin amount for the line in base currency, calculated as the line net amount minus the line cost. Note that this is an estimation since rebates and charges (e.g. pack size charges, sales promotion charges) are not considered.
HI
When it comes to standard customer order, the system does not let users enter negative quantities or negative prices.
Negative Price
Negative quantity
So I believe you have created customer order in the attached image from Work order ( Though credit invoice preview ), If that is the case, What happens in Negative/Credit customer order is, removing all data / or proportionate data ( As per amount or quantity you credit ) entered in sales tab in Report in the work order.
For example, when I create a credit invoice, it will remove all debit invoice values including margin value ( Here i’m crediting total debit invoice value)
Debit WO invoice preview Customer order
Credit WO invoice preview Customer order
Hope this clears your doubt.
+9Thanks all for the information!
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