Expiry Date

Quotes and orders have an expiry date in the form of a 'Valid To' field. If this date is entered then the quoted prices are valid until that date. After that date if the document is loaded to a sales document the prices will be subject to rise and fall. If the salesperson wishes to maintain the prices after this date the date should be altered or removed.

The effect of Rise and fall is to adjust the prices by any change in the cost price of the products quoted. This preserves the discount or mark up originally used to achieve the quoted price but ensures that price fluctuations are covered. As an example take a product which has an original cost price of $4.50 and is originally quoted at $6.30 to the customer (a mark up of 40 percent). If this product is sold after the expiry date by loading the order/quote to a sales document when the cost price has risen to $4.95 (an increase of 10 percent) the sale price will be calculated as follows.

$$Sale\ Price = New\ Cost\ Price + Original\ Mark\ Up$$

$$Sale\ Price = \$4.95 + 40\% = \$6.93$$