Multiplier Calculations                                                                                                                                                                                                                                                Misc.Multiplier Calculations (530)

 

The CMSC software automatically calculates a weighted multiplier for each order and quote created. It does this by calculating the total of the order or quote including all the line items and accessories contained in the order or quote. A weighted multiplier is then calculated by using the different multiplier rates for each category of item based on the multiplier values for that category and the total dollar amount for each category of items.

 

Multiplier Categories

ClimateMaster assigns three different multiplier rates to items based on the category that the item falls into. The three different multiplier rates are:

•Tranquility Compact Series (TC)

•Accessories

•All Other Products

 

By default the CMSC uses the multiplier rates assigned to the representative currently logged into the system and creating the order or quote. The rates can be set by modifying the user's multiplier rates as detailed in the section Modifying User Properties. If the user has never been assigned default multipliers the system will default to a predefined set of multipliers based on the Transaction and Order type.

 

How the Weighted Multiplier is Calculated

The system determines the weighted multiplier by using a formula that calculates the total amount of the order and then, depending upon the percentage of each category of item, multiplies the specified multiplier rate by the total of the order to determine the weighted multiplier.

 

Example

In the following example we will show how the weighted multiplier is calculated for a particular order/representative combination.

 

Product Line

Multiplier Being Used

Amount of Product in Category (List Price)

Result (Amount * Multiplier)

Tranquility Compact Series

.64

$95,000

$60,800

Accessories

.65

$2,700

$1,755

All Other Products

.53

$10,400

$5,512

Total

 

$108,100

$68,067

 

To calculate the weighted multiplier, the system does the following.

1.Adds the totals of all three categories in the List Price column (95,000 + 2,700 + 10,400) = 108,100

2.Adds the totals of all three categories after the multiplier is applied (60,800 + 1,755 + $5,512) = 68,067

3.Then the system divides 68,067 by 108,100 and the resulting value of .6296 is rounded to the nearest three decimal places which gives us a weighted multiplier of .630