For every deal, regardless of which mechanism plug-in the deal uses, you will have the option of ticking the Contra earnings box.
For example, suppose a deal has a fixed percentage rate of 5% and a total value across the matching turnover lines of £100,000 and the Contra earnings box is not ticked.
For this deal, calculating the earnings will involve both of the following, regardless of whether the contra earnings box is ticked:
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Multiplying the percentage rate (5%) by the turnover value for the deal (£100,000) to derive a deal level result for earnings (£5,000).
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Multiplying the percentage rate (5%) by the turnover value for the turnover line to derive an earnings result for each of the matching turnover lines.
Now suppose the Contra earnings box is ticked. DealTrack will include an additional step in the earnings calculation that involves multiplying each of the following by -1:
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The deal level result for earnings (to give an earnings result of -£5,000).
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The earnings result for each of the matching turnover lines.
The step of multiplying by -1 is always applied as the final step, after the deal level and turnover line level results have been calculated. Except for this final step, the earnings calculations for a deal where the Contra earnings box is ticked are identical to those that would be performed for the same deal if the Contra earnings box was not ticked.
As the contra earnings step always involves multiplying the calculated earnings by -1, ticking the Contra earnings box will:
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Generate negative earnings where a positive result would have been returned for a deal where the contra earnings box is not ticked.
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Generate positive earnings where a negative result would have been returned for a deal where the contra earnings box is not ticked.
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