How is free goods determined in SAP?
Free Goods in SAP is giving certain material/quantity as free of charge based on Order quantity. If the Free Goods quantity is a part of Order quantity, it is said to be Inclusive Free Goods. Also called as Inclusive Bonus Quantity.
What is the free goods discount type in the standard SAP system?
Condition type R100 is the standard condition type for free goods. You can create a customized one starting from either ‘Y’ or ‘Z’, as per SAP standard practice for customization, depending on your requirements. The free goods condition type should be placed in the pricing procedure.
How do you calculate free goods?
In this rule, if the customer order for 162 pieces, the system calculates 32 to as free goods ( 162 X 20/100). When you maintian this rule, the above scenario becomes: The customer get only 20 as free goods. (100 X 20/100), as the system will consider as 20 free for every full 100 purchased.
What is meaning of free goods?
1 : goods admitted into a country free of duty. 2 : goods not subject to seizure in time of war. 3 : goods having utility but accessible in such abundance as to possess no economic value.
What is a characteristic of a free goods process?
A free good is a good that is not scarce, and therefore is available without limit. A free good is available in as great a quantity as desired with zero opportunity cost to society. A good that is made available at zero price is not necessarily a free good.
What is the standard pricing procedure for free goods?
To check how the free goods are priced, from the sales order overview screen, position the cursor on the free goods item and choose ( ) . The pricing procedure displays the price of the free goods in the price condition type (in the standard system, PR00).
What are item categories?
An item category is used to define if an item is suitable for billing or pricing. It defines the additional control functions for a sales document. Example − A standard item function is totally different from the function of a free of charge item or a text item.
What are free goods examples?
Examples of free goods are ideas and works that are reproducible at zero cost, or almost zero cost. For example, if someone invents a new device, many people could copy this invention, with no danger of this “resource” running out. Other examples include computer programs and web pages.
What is the difference between economic and free goods?
An economic good is a good or service that has a benefit (utility) to society. Also, economic goods have a degree of scarcity and therefore an opportunity cost. This is in contrast to a free good (like air, sea, water) where there is no opportunity cost – but abundance.
What is free goods in SAP?
SAP Free Goods functionality works as a Bill of Materials (BoM) structure meaning when you enter a material in the sales order and if the material, customer or other combination in which the condition record is maintained falls true, the system proposes the free goods quantity based on the rule defined in the condition record.
How to give multiple free goods (free goods) for one main item?
We can give multiple free of charge item’s (Free Goods) for one main item. Using Cross Selling function we can do this process. 1. We can give validity periods for the condition records. 2. Simple master data maintenance.
How to create free goods conditions for sales order?
Path : SAP Menu -> Logistics -> Sales and Distribution -> Master Data -> Conditions -> Free Goods -> Create/Change 1) 1) Minimum Quantity = 100 ( this means that if the ordered quantity is less than 100 KGs , then these free goods conditions would not be applicable for that sales order).
How to give multiple free of charge items for one main item?
We can give multiple free of charge item’s (Free Goods) for one main item. Using Cross Selling function we can do this process. 1. We can give validity periods for the condition records.