Enter a Treatment Charge in Contract Terms

You can add a treatment charge to a set of contract terms. For more information and examples, see Treatment Charges.

Security Note: You need the Allow contract maintenance security right in the Contracts domain security rights group for this activity.

Activity Steps

  1. Open the Sales Contract or Purchase Contract.
  2. Expand the required set of contract terms.
  3. Right-click the Contract Charges node and select New » Treatment Charge from the menu.
  4. Update the Name if required.
  5. Enter general details for the treatment charge. See Enter General Details for a Charge.
  6. Enter conditions for the treatment charge. See Limit the Applicability of a Charge.
  7. Configure the value type of the treatment charge:
    1. Select the Value Type from:
      • Fixed (default)—The charge is defined by the Value.
      • Calculated—The charge is calculated with a formula created in the Expressions for Custom Calculations.
      • Tiered—The charge is determined by tier levels defined on the Tier Group tab.
      • Premium Matrix—The charge is determined from the selected premium matrix, and optionally from tier levels within the premium matrix. See Premium Matrixes.
    2. If the Value Type is Fixed, enter the Value.
    3. If the Value Type is Calculated, select a tested expression or create an expression for the Calc. Expression.
    4. If the Value Type is Tiered, enter tiers. See Enter Tiers for a Charge.
    5. If the Value Type is Premium Matrix:
      1. Select the Premium Matrix from the premium matrixes defined in the Premium Matrix Editor.
      2. If the premium matrix has a Tier Basis of Price, select whether to Use Premium Matrix Tier. If unchecked, the value from the Premium Matrix Rates table is used. If checked, the value is determined from the tiers configured for the premium matrix. The tier entry point is based on the price:
        • The payable analyte price for payable analyte charges
        • The main analyte price for contract term charges in contracts with analyte pricing
        • The product price for contract term charges in contracts with product pricing
  8. Configure the resulting value of the premium:
    1. Select the Value Basis to define what the calculated result affects on the invoice. Select from:
      • Invoice Value
      • Unit Price (default)
      • Payable Analyte Grade
    2. If the Value Basis is Invoice Value, select the Currency (on the Resulting Value tab) from the currencies defined in the Currency/Exchange Editor.
    3. If the Value Basis is Unit Price:
      1. Complete the following fields (on the Resulting Value tab).
        • Currency—Select from the currencies defined in the Currency/Exchange Editor.
        • Unit—Unit of measure to which to convert the value mass. However, if the Value Mass Basis is Calculated, the unit is only used as the display unit of measure. Select from the Mass units defined in the Unit Conversion Editor.
        • Value Mass Basis—Type of mass value that the resulting value affects. Select from:
          • Gross Mass
          • Wet Mass—Includes certificates, draft surveys and tonnage corrections. Is the same value as wet mass on the invoice preview.
          • Dry Mass—Includes certificates, draft surveys and tonnage corrections. Is the same value as dry mass on the invoice preview.
          • Unadjusted Wet Mass
          • Unadjusted Dry Mass
          • Loaded Wet Mass—Includes certificates, draft surveys or tonnage corrections applicable to the loading location.
          • Loaded Dry Mass—Includes certificates, draft surveys or tonnage corrections applicable to the loading location.
          • Unloaded Wet Mass—Includes certificates, draft surveys or tonnage corrections applicable to the unloading location.
          • Unloaded Dry Mass—Includes certificates, draft surveys or tonnage corrections applicable to the unloading location.
          • Uncorrected Loading Wet Mass—Certificates, draft surveys and tonnage corrections are ignored.
          • Uncorrected Loading Dry Mass—Certificates, draft surveys and tonnage corrections are ignored.
          • Uncorrected Unloading Wet Mass—Certificates, draft surveys and tonnage corrections are ignored.
          • Uncorrected Unloading Dry Mass—Certificates, draft surveys and tonnage corrections are ignored.
          • Calculated—The value mass basis is calculated with a formula created in the Expressions for Custom Calculations. Ensure that the result of the formula is in the specified Unit.
      2. If the Value Mass Basis is Calculated, select a tested expression or create an expression for the Value Mass Expression.
      3. If the unit price should be converted to a different currency or unit before calculating the invoice line item for the charge, complete the following fields in the Header Pricing field group:
        • Currency—If not specified, the currency specified on the Resulting Value tab applies. Select from the currencies defined in the Currency/Exchange Editor.
        • Unit—Select from the Mass units defined in the Unit Conversion Editor.
        • Decimals—Number of decimal places to which the converted unit price is rounded before calculating the charge invoice line item.
    4. If the Value Basis is Payable Analyte Grade, select the Unit from the Proportion units defined in the Unit Conversion Editor.
    5. Complete the remaining fields on the Resulting Value tab as required.
      • Value Analyte—Select from the analytes defined on the Quality panel of the Solution Explorer.
      • Value Decimals—Number of decimal places to which to round the resulting value.
      • Mass Decimals—Number of decimal places to which to round the mass.
      • Minimum Output—Minimum value of the resulting value.
      • Maximum Output—Maximum value of the resulting value.
      • Apply To Base Unit Price—Whether the adjustment will roll up into the base unit price. If checked, other invoice line items that are calculated on the unit price will use the adjusted price. If unchecked, other invoice line items that are calculated on the unit price will use the base unit price.
      • Apply As Percentage—Whether to apply the adjustment as a percentage.
      • Affect—What is affected by the resulting value. For contracts with analyte pricing, select from None and Invoice Value. For contracts with product pricing, select from:
        • None—The resulting value displays on the invoice, but does not affect the invoice value.
        • Invoice Value—The resulting value is included in the invoice as a separate line item.
        • Revenue Value—The resulting value is included in the calculation of the revenue line item.

        Example: A despatch order has a mass of 35,222.250 mt, a price of 50.50 USD/mt and a charge that results in 1.58 USD/mt. If the charge affects Revenue Value, the revenue line item is calculated:

        Price = (50.50 + 1.58 ) = 52.08
        Revenue Value = 52.08 * 35,222.50 = USD 1,834,374.78
      • Excluded in FOB Value—Whether the resulting value is excluded in the FOB value. See Delivery Terms.
  9. Click Save.