What is rebate in SAP?
What is rebate in SAP?
A rebate is a special discount which is paid retroactively to a customer. This discount is based on the customer’s sales volume over a specified time period. You define the details of the rebate in a rebate agreement .
What is rebate settlement?
Rebate is a kind of discount paid to a customer retroactively. Generally, this discount is based on the customer’s sales volume over a predefined time period and settled by credit notes at the end of the year. Rebate is generally processed at regular intervals or at the end of the year.
How is rebate calculated in SAP?
When the final settlement of a rebate agreement is carried out, the SAP system will automatically calculate the rebate based on the sales volume statistics and the lump sum discounts (if applicable). It will also deduct any rebates that have been previously paid out to this customer.
How are rebates posted?
The rebates are posted statistically to an invoice which means they’re not paid for every invoice that is sent to the customer. It is not paid to the recipient until the end of validity period of the rebate agreement.
What is the difference between rebate and discount?
Discount is the reduction offered by a seller to the buyer from the purchase price of goods or services. Rebate is refund or return of currency value that a seller of goods provides to the buyer for various different reasons. To promote high quantity purchases or receive early payments before a certain due date.
What level we can activate rebate?
Activating Rebates You have to activate the functionality at three levels: the sales organizations, the billing types, and the customer level. You can activate the rebates at the first two levels—the sales organization and billing type—in customization.
What is an example of rebate?
The definition of a rebate is a discount given to a customer at the time of purchase, or money sent to a customer after they’ve paid the full price. An example of a rebate is someone paying full price for a cell phone and sending in a form to get 10% of what they paid back.
What is rebate agreements?
A rebate agreement represents a contract between two business partners, defining the terms and conditions of a discount that is paid after the purchase of a product. The discount which is valid for a specific time period, is either based on a customer’s sales volume, or on the amount of products purchased.
What are the prerequisites for a rebate agreement to be applied on a customer?
Prerequisites for Rebate Processing:
- Sales orgn: must be relevant for rebate processing.
- Payer: must be relevant for rebate processing.
- Billing type: (invoice, credit memo etc) must be relevant for rebate processing.
What is a rebate example?
What is rebate fee?
(rebates plural )A rebate is an amount of money which is paid to you when you have paid more tax, rent, or rates than you needed to.
