The system allows provisions for stock returns as a percentage of the total royalty or by a flat amount.
Add returns provision
- In the menu, expand Publishing Modules > Rights & Permission > Management and double-click Work with Royalty Contracts. RYW010 Work with Royalty Contracts selection panel appears.
- Enter the selection variables and click OK. The selected royalty contracts are displayed.
- Select the royalty contract and right click option Rtn prov. RYM170 Returns Provision Maintenance panel appears.
| Note | Returns Provision Maintenance panel would appear automatically on contract creation to allow returns provisions to be entered. |
- Click Add to add a new returns provision. RYM170 Returns Provision Maintenance panel appears in add mode.
| Field | Description |
| Sequence | Sequence number determines the order of preference of the provision rules if multiple returns provisions are maintained for an item by contract. |
| Item | Item code for the returns provision. |
| Packaging type | You can enter the packaging type to allow for returns provision by item by type of packaging or accept the default for all packaging types. |
| No. of period | Determines up to what period to take up Returns Provision. This could be for the life of the book or typically it is for the first 6 months of sales which could be the first Royalty Period. If it is for the first two Royalty Periods, enter 2. Once the Provision has been taken up it must be decided how long to keep it before paying the author. This is indicated in the No. of period to hold field. The Provision calculation is based on the total transaction quantity combined with the Provision Rate. The Effective Contract Date is used to determine the start of the Royalty Periods for this Contract. |
| Start period | This is the period you want provisions to start. |
| No. of period to hold | The Number of period to hold determines how long to keep the Royalty money before paying it to the Author. If the provision is to be kept for two Royalty periods, the entry would be 2. This means the provision taken up in the first Royalty period is reversed in the third Royalty period. |
| Reserve type | If the returns provision is to be calculated as a percentage of the total royalty earned then select Rate. If it is flat amount then select Amount. |
| Reserve value | Enter the percentage or the amount depending on the Reserve type. If returns provision is not being used then enter zero. |
- Enter the above information as required and click OK.
