Can Sales Order and Billing Have Different Pricing

During the interview, the interviewer raised one question, whether the SALES ORDER & BILLING can have different pricing Procedure?

Yes, can have 2 different pricing procedures

1. One for Sales Order
2. Another at the Billing

Let us take an example :

Generally in the Pharma industry this procedure is adopted becuase all the goods are batch price based.

1. In the Pharma Industry whenever the goods are manufactured it will done in a batch to keep track and price is fixed, I mean there will be a Batch Master which has a certain price fixed for it. This Batch Master will have certain number of batches . These batches will have the number series generated wither by internal or external generation depending upon the client requirement

2. So till all the batches are produced as per that particular Batch Master will have the same price. Like that there will n number of batches will different different prices

3. So when you are preapring Sales Order you be only putting the tenative price for the goods that are sold

4. Then at the time of delivery we will be picking up the goods from different batches basing on the required delivery quantity and finally we do the PGI.

5. This is called Delivery Based Pricing becuase your price for the goods will be determined at the time of the delivery as the goods picked up from the different batches which have different prices. ( Mind it there will very less difference in the prices).

6. So at the time of Billing the Pricing Procedure behaves differently depending upon the differnent batches that are picked basing on the batch determination.

7. So the prices which are detemined from different batches will be the actual prices at which the goods are billed to the customer along with other condition that are applied as required.

Tips by : Kittu