The Rebate Code

The rebate code is used to identify a rebate on an energy job. The code will identify the value of the rebate provided by an external entity (e.g. a power company) and only affects the sell price on the quote and the order. Note: the entity must be entered as a manufacturer in your system for this to work.

Projects and Quotes

In this example, the quote is for $20,000 worth of product purchased for $10,000. This results in a markup (profit) of $10,000. With the rebate of $15,000, the sell price is reduced to $5,000.

Note: taxes are calculated on the full value of the quote and do not include the rebate monies. (e.g. the tax is still for $20,000 worth of product.)

Orders

When converting a quote to an order the rebate line is pulled into the order like any other product line.

On the order, the rebate line only affects the sell price. Cost, earnings and taxes are not affected. Internally, the “profit” column is used to carry the value of the line. This cell will likely be hidden (blocked and blanked) in the future. Note: because rebate is a money line, shipping is disabled.

Open Items

Currently, gross profit is shown as a ratio of the earnings to the total sell price. Since the rebate line changes the sell price, it seems to make sense to calculate gross profit on the pre-rebate sell price (real sell price).