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What is the difference between value contract and quantity contract?
Contract is two types : Quantity Contract: This contract considered to fulfilled when the company supplied an agreed total quantity of materials against the contract. Value Contract: This contract considered to fulfilled when the company supplied agreed total value of material against the contract.
What is a value contract?
A value contract is a legal agreement with a customer that contains the materials and services that the customer receives within a specified time period, and for a value up to a specified target value. A value contract can contain certain materials or a group of materials (product hierarchy, assortment module).
What does contract value mean?
A contract value is essentially the price tag that a government contract is worth in terms of dollars. Government contracts can have values ranging anywhere from several hundred dollars to multi-million dollars.
How do you determine the value of a contract?
Calculate total contract value by adding all the total recurring revenues for the contract term, plus fees and the sum of the subscription fees multiplied by the total number of subscription payments.
What is the difference between a contract and a scheduling agreement?
The contracts are of two types: Value Contracts Use this type of contract, if the total value of all release orders issued against the contract shall not exceed a certain predefined value. But Scheduling agreement is a form of procurement plan under which the materials are purchased on dates within a certain time.
What is quantity contract in SAP MM?
A quantity contract (sales document type CD) is basically an agreement stating that the customer will buy a certain quantity of a product in a certain time period. The contract contains general quantity and price information but no specifications of the delivery dates and quantities.
What is value contract in SAP MM?
A value contract is a legal agreement with a customer that contains the materials and services that the customer receives within a specified time period, and for a value up to a specified target value. A value contract can contain certain materials or a group of materials (product hierarchy, assortment module).
What is quantity contract?
A quantity contract (sales document type CD) is basically an agreement stating that the customer will buy a certain quantity of a product in a certain time period. The contract contains general quantity and price information but no specifications of the delivery dates and quantities.
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