Create / Change / Display

Sales Price Calculation

SAP
Optimization
VKP5 - VKP1 - VKP8

October 2009

Developed by the
UFA Learning &
Developments Team
This Quick Reference Guide is designed to get you started in using the indicated
transactions and is not meant to take place of a full instructional user manual or
classroom training.

Record of Change
Date Reason For Change Version Name Sign
MM/DD/YY off
10/16/09 Draft Draft Richard
Crabbe
10/22/09 For Distribution 1.0 Richard Aneet
Crabbe Brar

Table of Contents
INTRODUCTION................................................................................................. 3
TRIGGER ................................................................................................................. 3
T-CODE .................................................................................................................. 3
CREATE / CHANGE / DISPLAY A NEW SALES PRICE ......................................... 4
PRICE CALCULATION - VKP5 - VKP1 VKP8 ................................................................. 4
REVIEW HOW PURCHASE PRICE WAS DETERMINED ......................................................... 11
REVIEW HOW SALES PRICE WAS DETERMINED............................................................... 12
CHANGE A SET OF PRICE CALCULATION VALUES BY A CONSISTENT AMOUNT ............................ 15
POST THE NEW PRICE CALCULATION............................................................................. 17

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Introduction

Trigger
Within SAP, you set you sales price using the Price Calculation functionality. When
executing the price calculation you have various options on how to:
- determine the purchase price
- determine the sale price
- what fields are displayed

To create a new sales price that is valid on a specific date, use VKP5 Create Price
Calculation
To change an existing sales price that is already valid, use VKP1 Change Price
Calculation
To display a sales price calculation use VKP8 Display Price Calculation

T-Code
VKP1 Change Price Calculation
VKP5 Create Price Calculation
VKP8 Display Price Calculation

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Create / Change / Display a New Sales Price

Price Calculation - VKP5 - VKP1 VKP8

Step 1: Enter Transaction Code VKP5 or VKP1 or VKP8 Click or press Enter

The following screen is displayed:

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Step 2: Complete the following fields:
Click for a list of options
Not all fields are mandatory

Pricing Levels:
These criteria define the different pricing levels for which you want to create / change /
display a price calculation
Article - The article(s) for which you want to create / change / display the
sales price

Sales - 1000 = UFA

Organization
Distribution - 10 = UFA Retail
Channel
Site Group - If you want to set site specific pricing, then you select sites either
by a site group or a specific site
- A site group is a grouping of similar sites, when searching for a site
group use class type 30

Site - Enter the sites if site specific pricing is required

Price List - Sites can also be assigned to a zone

- The price list functionality is used to specify the zones

Validity - The start date of the sales price

(from)
- This will default to tomorrows date

Validity (to) - The end date of the sales price

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Article Selection Criteria:
These criteria allow you to further limit the pricing levels for which you want to create /
change / display a price calculation

Merchandise - Allows you to select all articles within a merchandizing category

Category
Vendor - The internal vendor defines a distribution centre or warehouses
(Internal
Procurement)
Vendor - The external vendor defines the primary vendor for external
(External procurement
Procurement) - For example if you want to review all articles supplied by a specific
vendor then you would use this field.
Vendor Sub - A vendors product offerings can be divided into sub-ranges. You
range can limit the price calculation to a specific vendor sub range.
Season - The season that an article has been assigned to
Season Year The season year that the article is first sold.

Restrictions:

Pricing levels - VKP5 Create Price Calculation

without
- If checked then a price calculation will only be executed where the
general sales article does not have a sales price already
price only

Pricing levels - VKP1 Change Price Calculation

with specific
- If checked then a price calculation will only be executed where a
sales price sales price already exists for the specified pricing levels
only

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Pricing Procedure:
The sale price is calculated for an article based on the Purchasing Price that represents
the average procurement costs of the article for the pricing level for which the sales
price is to be calculated.
This price is called the net / net purchase price or simply the purchase price.
Determining suggested values for sales prices in the price calculation is known as sales
price determination.

Purchase - Purchase Price Determination Sequence for UFA this will

Price Determ. always be U1.
Seq - This field determines how the purchase price is to be determined.
U1 defines that the purchase price will be determined.
- The choices are:
01 The pricing procedure that would be used when create a
purchase order is used to determine the purchase price.
02 Same as 01 above. If method 01 fails to find a price the
purchase price of the components of the article are determined
and these are added to together
03 If the article is sold by multiple vendors then the average
purchase price is determined. You can use weighting factors
based on planned procurement quantities. If an average price is
not found then method 01 is used.
04 this allows you to enter the purchase price directly into the
price calculation screen
05 A specific price procedure is defined. If the specific price
schema fails to find a price then Method 01 is used.
06 Allows you to define your own mechanism to define how
the purchase price is determined.
07 Method 03, then Method 02
08 Same as Method 01
At UFA U1 is
U1 A specific price procedure is used to determine the
used. You can
purchase price.
set the system
to default U1, - The specific pricing procedure sets the purchase price based on
by setting the the Moving Average Price.
parameter ID If a site is not specified then the Moving Average Price will be for
EVM = U1 the Distribution Centre 1100
If a site is specified then the Moving Average Price will be for the
specified site.

Contd on next page

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 Contd from previous page

Sales Price - Calculating the margin (gross / net) or the actual mark-up from
Determination the sales and purchase price is also part of the sales price
Seq determination. There are various ways to determine the sales
price.
The options are:
Note: 01 Calculate the sales price from the planned markup. The
planned markup is maintain by merchandizing category in
If you have
condition ZAMG
selected Sales
Price 02 Adopt the current sales price and adjust the margins
Determination 03 Adopt the sales price from another field in the price
Sequence 04 calculation, for example you take into account a competitors
or 05 you will price that you keep track of and maintain in the system
be asked to 04 Allows you to set the sales price based on a percentage
enter the change of a reference field. For example if the reference field is
percentage the initial price this can be used to reduce the price for seasonal
change or the articles)
absolute value /
05 As above, but you set an absolute change instead of a
currency change
percentage change
after executing
this transaction 06 Method 02, if sales price cannot be found then use method
01.

At UFA option 02 is usually selected. You can set the

system to default 02, by setting the parameter ID EVV =
02

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Display Options:
These options define how the price calculation results are displayed

List Group - This controls what data is displayed at the header and the item level

- The choices are:

A - The material data (for example, the material description) is
displayed in the header section of the pricing table. The selected
organizational levels are displayed as pricing items in the table.
If several materials have been selected, a screen appears for every
material
B- The pricing level data appears in the header section of the
pricing table. The selected materials are displayed as pricing items
in the table

- For every pricing level selected, a screen appears.

List - This controls which fields are displayed at the item level.
Variant

Step 3: Click Execute

Step 4: If you have selected Sales Price Determination Sequence 04 or 05 you

will be asked to enter the percentage change or the absolute value / currency
change.

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 The following screen is displayed:

Depending on the list variant that has been selected the following fields may be displayed:
Distr. - Pricing Level / Organization Level
Uni - Sales Unit of Measure. All sales prices refer to the sales Unit of Measure.
Vendor - Primary / default vendor for the article
DCrcy - Purchase Order Currency
Basic PP - Basic Purchase Price. As we are setting the Basic Purchase Price to the Retail
MAC then this will also be the sames as the Net / Net
Local - Local Currency. This is the currency of the organization level defined in the
Ditr. Column
Pl Ven Net - Planned Vendor Net. This is no longer used.
Pl Log C - Planned Logistics Costs. This is no longer used.
NRC nt/nt - Net Retail Cost. This is starting point that the system used to determine the
sales price
Pl mg (%) - Planned Margin Percentage.
Retail Planned Margin / 100 - Retail Planned Margin
Marg % - Markup Amount / Gross Sales Price
MrkUp (Amt) - Sales Price Net Retail Cost
Final Pr. - Sales Price
FinalPrOld - Old Sales Price
Mrg%OldRet - Margin % using Old Sales Price
Old NRC - Old Net Retail Cost
Old Mg (%) - Markup Up Amount based on Old Net Retail Cost / Gross Sales Price
Initial Price - Initial Price
Sug Price. - Suggested Price

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Review How Purchase Price Was Determined

Step 1: Click

The following screen is displayed

The conditions displayed are:

PB00 = Gross Price - This represents the purchase price from the vendor

- This is the purchase price that will be used when a

purchase order is created

- It does not necessarily include all costs to purchase the

article.
ZRMC = Retail MAC - This represents the landed cost at the DC (or site if you
are working with site specific sales prices)

Step 2: Click to return to the previous screen

The following screen is displayed:

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 Review How Sales Price Was Determined

Step 1: Click

The following screen is displayed:

The conditions displayed are:

ZALU = VKP Lubricants - The planned marked up for the lubricant articles
Markup
ZAMG = Retail Plnd - The planned retail margin by merchandizing category.
Margin
EKNN = Net / Net - This value is copied from the purchase price and is
equal to the Retail MAC.
AUFX = Retail Margin - The calculated retail margin using the Net / Net and
Sales Price condition values.
(Sales Price Net/Net ) / Net/Net
DIFF = Rounding Off - Used for capture any rounding differences.

Contd on next page

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 Contd from previous page

VKP0 = Sales Price - This is sales price that the system is suggesting. How
this value is determined is dependent on the sales price
determination sequence selected on the initial price.
For example if you selected:
01 The sales price is the calculated from the net /
net price and the planned margin
02 The sales price is the current sales price in the
system. The margin as been adjusted in this case.
VKP1 = Original Sales - This is the current sales price
Price
ZAIV = Initial Sales Price - This is the initial sales price.
This will be the Original Price; if the Original Sales Price
is not specified then this will be the Sales Price; if the
Sales Price is not specified it will be the calculated
Retail Price.
This is one of the reference fields that can be used to
determine the new sales price if you have selected
sales price determination sequence 03 or 04.
ZARC Net Repl Cost - Replacement Cost
ZAOM Old Margin% This is equal to
(Sales Price Net Repl Cost) / Sales Price

Step 2: Click to return to the previous screen

The following screen is displayed:

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To move the columns across the screen you can use

Based on the List Group you can use to move between the different groupings.
If you choose List Group:
1. Then you will move between articles
2. Then you will move between organization levels

The text below will shows the user which grouping of the total groupings that is being
viewed:

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Change a set of price calculation values by a consistent amount

Step 1: Select the check box to the left of the price calculation lines that you wish to
change

Not all fields can be changed

Step 2: Click

If the field can be changed, the following screen is displayed:

If the field is a:
Percentage - You will be prompted to enter the new percentage value
Value - You will be prompted to enter a new value, a percentage change, or
an absolute change:

Enter the value

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Step 3: Click Copy

Note:
Once the changes have been applied then the defined rounding rule will be applied.
The rounding rule defines how the price is to be rounded, for example to nearest 99
cent value.
The new margin calculations will be based on the rounded value.

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Post the new price calculation

Step 1: Select the line items that you want to save using the check box to the left

Step 2: To review which conditions will be updated click

The following screen is displayed:

Click on the various tabs to review:

Organization Displays the organization levels, the reference site and purchasing
information
Sales Price Displays sales pricing information including:
Current price
Associated validity period (current price)
Key combination that would is to maintain the current price
New price
Associated validity period (new price)
Key combination used to maintain the new price
Update The displays the list of conditions that will be updated on posting
the pricing calculations.

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Step 3: Click Save

The pricing document will be saved in release status (Status = C) and any prices will
be updated
To save the price calculation without posting updates the pricing conditions then
select Menu Option: Pricing Table > Create Pricing Document.

This will save the pricing document in an unreleased status. (Status A). Use
transaction VKP7 to display the document, or VKP6 to change and release the pricing
document.

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