What is 'differential price' in SAP IS-OIL - SAP for Oil & Gas?

differential price - Overview

• Component: IS-OIL

• Component Name: SAP for Oil & Gas

• Description: Industry Solution Oil A price that includes surcharges to or discounts from the standard price which are defined for certain days or times.

differential price - Details

• 
  Key Concepts: 
  Differential price is a pricing mechanism used in the IS-OIL SAP for Oil & Gas industry. It is used to calculate the difference between the price of a product at two different points in time. This difference is then used to determine the cost of the product at the current point in time. 
  
  How to use it: 
  Differential pricing is used to calculate the cost of a product at a given point in time. This is done by taking the difference between the price of a product at two different points in time and then using this difference to calculate the cost of the product at the current point in time. 
  
  Tips & Tricks: 
  When using differential pricing, it is important to ensure that you are taking into account any changes in market conditions that may affect the price of a product over time. Additionally, it is important to ensure that you are taking into account any taxes or fees that may be applicable when calculating the cost of a product. 
  
  Related Information: 
  Differential pricing is often used in conjunction with other pricing mechanisms such as fixed pricing and variable pricing. Additionally, differential pricing can be used to calculate the cost of a product over a period of time, such as when calculating the cost of a product over a month or year.