Line Level Financial Review

Three pieces on the financial detail of a case line: how equipment sold from American stock is priced depending on whether it will be replaced, the touched and untouched line review that every amendment triggers along with the logistics support charge (LSC) and coding rules, and the two arrangements used when one buyer paying cash does not fit, cost sharing and risk assessed payment schedules (RAPS).

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Three pieces in this topic

Pricing equipment sold from stock

Intent to replace decides the price, with depreciation, a functional equivalent test, and a warning where price exceeds value.

Line level review of a case

Touched lines are repriced in full including the logistics support charge (LSC), while an error on an untouched line is logged for later.

Sharing cost, and paying under assessment

Cost sharing spreads one article across separate agreements at a pro rata share, while a risk assessed schedule (RAPS) deposits the termination liability.

Key terms in this topic

Intent to replace Actual value Functional equivalent Cost-value differential Touched line Untouched line Logistics support charge Future correction required Cost sharing arrangement Pro rata share Risk assessed payment schedule Termination liability

Line Level Financial Review

Three pieces in this topic

Pricing equipment sold from stock

Line level review of a case

Sharing cost, and paying under assessment

Key terms in this topic

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