Creating an NTE Quote

With NTE (not to exceed) quotes, the invoice billing amount is determined by applying the location's price matrix to actual costs, up to the NTE amount. When the NTE amount is reached, total billing must equal the NTE amount and cannot be adjusted. Service call quotes do not use tax information when calculating billing amounts. 

A service call quote cannot be created for an inactive customer or location.

Step 1: Create a Service Call

1. Select Cards > Service Management > Service Manager.
2. Select a customer and select New Call. Complete the Service Call window as usual. See Creating Service Calls with One Appointment. You may want to have a call type of QTE for a fixed quote and NTE for a not-to-exceed quote. This is especially useful for reporting.

Step 2: Add Tasks to the Service Call

1. Select the Tasks button in the Service Call window. Then select the Task or Task List button in the Service Call Tasks window.
2. View/edit the task's estimated costs. To verify that the task has estimated costs, select a task code in the Task Code scrolling window and zoom on the Task Code field. If you add or edit costs in the Task Code window, they will appear on the quote.
3. Once you've verified the estimated costs are correct, select a task code in the Task Code window and click Select. You will return to the Service Call Tasks window.
4. Select Save.

Step 3: Complete the Service Call Quote Window

1. Select the Quote button in the Service Call Tasks window to open the Service Call Quote window.
2. Complete the following fields, as necessary.
   • Invoice Type
     This field defaults as Fixed. Use the drop-down list to select NTE. Since there are estimated costs assigned to the call, you will receive a message when changing from fixed to NTE. You cannot calculate billing amounts by cost categories when using NTE. You have one billing amount, which is equal to the NTE amount. You can still estimate costs by cost category.
   • Quote Date, Expiration Date
     The quote date defaults with the system date.
   • Salesperson ID
     Defaults from the location record.
   • Quote Pricing Matrix
     Defaults from the division assigned to the call.
   • Quoted Services Breakdown
     Review the cost information. Since we have tasks attached to the call, when you open the Service Call Quote window, the Task-Based Cost and Estimated Cost columns are complete. You can edit the estimated costs. Changing estimated costs on an NTE quote will not affect the billing amount.
   • Total
     Enter an amount as the NTE amount for the invoice. If you are using tasks, there will be an amount in the Total field based on estimated costs and a markup percentage. You will most likely edit this amount for an NTE quote.
3. Select Save.

• The Calculate button in the Service Call Quote window is disabled on NTE quotes.
• A red asterisk appears in rows where the task-based cost and the estimated cost aren't equal.

The Profit field is calculated as follows: (total billing - total estimated costs) / total estimated costs

Step 4: Create an Invoice

1. Select the Invoice button in the Service Call window. When you open the Service Invoice window, the NTE amount appears in the NTE Amount field.
2. Add costs to the invoice. As costs are added, the billing amount is calculated based on the price matrix assigned to the location. If the NTE amount is exceeded, you receive a warning message. You must adjust the billing amounts by cost category. The Service Quote Invoice window opens for you to do this. Enter amounts in the Billing Current Invoice column to equal the NTE amount and select Save.
   
   Once the cost categories have been adjusted, you can continue to add costs. The billing amount can never exceed the NTE amount.
   
   If the NTE amount is exceeded while costs are being added through Microsoft Dynamics GP, you receive a message. However, the Service Quote Invoice window will not automatically open. You must access the Service Quote Invoice window from Service Management to adjust the billing amount by cost category.
   
   The Pct. Markup column in the Service Invoice window updates as costs are added. Percent markup is calculated as follows:(total billing - actual costs) / actual costs.
3. Post the invoice from Service Management or Microsoft Dynamics GP. Zoom on the Quote indicator in the Service Invoice window the next time you create an invoice for this call to see billing information to date.

Step 5: Print the Quote Summary Report

Select Print in the Service Call Quote window to print the Quote Summary report. The report includes the billing amount for the quote.