Royalty Levels and Variable Structure

Top  Previous Topic  Next Topic

 

This is a Level 7 Feature

You can use pricing levels to vary royalty rates.  Pricing levels are set-up in the main program's product database:  PRODUCT TOOLS >> PRODUCT INFORMATION & CATALOG NUMBERS.  If you have established pricing levels, you can use this method to vary royalties.

For example, you might have a pricing level for domestic sales (which would be the default pricing level of zero (0).  And you might have a pricing level for international sales (pricing level of one (1).  For more information, see Pricing Levels.

To set-up royalties based on pricing levels, see Pricing Levels.

If you use pricing levels in combination with a Variable Structure (either "Quantity" or "Discount Ranges," you'll need to enter information for each quantity breakpoint or each discount (or both).

First indicate the number breakpoint and/or discount ranges in the "Variable Structure" area of the Royalty Set-up Screen, then click on the "Quantity or Discount Set-up" button.  The "Royalty Levels and Variable Structure" dialog box will appear.

Notice in the illustration below, "Vary rate based on Pricing Level" is checked."  Also "VARIABLE Structure" is selected.  When the "Quantity or Discount Set-up" button is click, the dialog box shown appears:

RoyInfo14

 

In the "Royalty Levels and Variable Structure" dialog box (above), click on each named button, and fill in the required information.  Note that the quantity and/or discount ranges are set-up in the first level.  All levels, then, use the same range as the first.

In the illustration, below, serves as example.  In this case, the "Domestic" button has been clicked and the following screen appears:

RoyInfo14a

Be sure to click on each and every button below that has been enabled.  You must indicate rates for every level.  If you miss a level, then those rates will show up as zero on royalty reports.  In some cases, depending on your situation, you may have the same rates repeat from level to level. That's quite all right.  It's just important that you indicate rates for all of the pricing levels you are using.

To change any the names of the levels (above), click on the Pricing Level Set-up button found on the main Royalty Set-up screen.

Other Parts of the Set-up Screen include:

Menu Bar

Name, Address, and Phone Blanks

Email, Product, and Catalog Number Blanks

Summary Name, Social Security, and Active Check Box

Keep Running Tally Box

Counting, Calculation and Structuring Methods

Options (Net and Profit Calculation Methods)

Vary Rate Based on Pricing Level

 

For more information on setting up a royalty with a Variable Structure:

Indicating the Number of Quantity Breakpoints

Indicating the Number of Discount Ranges

Entering Breakpoints & Royalty Rates for Variable Structure (Quantity)

Entering Discount Ranges & Royalty Rates for Variable Structure (Discount)

Entering Breakpoints, Ranges & Rates for Variable Structure (Quantity & Discount)