What is the difference between horizontal and vertical financial markup on prime contract change orders?
Answer
When applying financial markup to your Prime Contract Change Orders (PCCOs), its important to understand the differences between horizontal and vertical markup. You can apply one or the other to a prime contract change order in the Advanced Settings tab of a prime contract. You also have the option to apply both styles of markup to your change orders. To learn more, see:
- What does horizontal markup look like?
- What does vertical markup look like?
- Can I add both horizontal and vertical markup?
What does horizontal markup look like?
A horizontal markup displays the markup amounts in the same row as the line items. An example of how the markup looks is illustrated below in Insurance (1%) and Contractor's Fee (3.00%) columns.
Example: Horizontal Financial Markup
The illustration below shows you what horizontal markup looks like.
What does vertical markup look like?
Vertical markup displays the markup amounts after the subtotal for the line items on a Schedule of Values (SOV). As illustrated below, the Insurance (1.000%) and Contractor's Fee (3.000%) are contained in separate rows. If you want to enter a lump sum markup amount, instead of using the percentage based amount, simply edit the change order's Subtotal inline.
Example: Vertical Financial Markup
The illustration below shows you what vertical markup looks like.
Can I add both horizontal and vertical markup?
Yes. You can add both horizontal and vertical markup on a prime contract.
Example
The illustration below shows you a change order that uses both horizontal and vertical markup.
