We usually do 3 year contracts (Subscriptions). But we will have a year over year escalation (usually 3% or 5%) on the subscription. How would I build the price to escalate over the 3 terms? Here's an example:
We have a 3 year contract with a 5% escalation. The first year cost is $100. This is what I need calculated:
Year 1: $100
Year 2: $105 (100*.05)
Year 3: $110.25 (105*.05)
I currently have product schedules working so that I put in a Monthly price and it is aggregated every month to a 12 month total. But I can't figure out the escalation piece.
Any ideas?
2 answers
Hi Zachary,
How did you solve this problem? I'm facing exactly the same issue and wondering what the best solution is without having to go down a route of several single year opportunities to allow addition of indexation year on year.
Thanks,
Morag
