Document ID: chunk:federal_register_of_legislation:F2021C00070:reg:21
Version: federal_register_of_legislation:F2021C00070
Segment Type: reg
Provision Reference: reg 21
Character Range: 18002–20030

21  Amounts for ingredients—quantity less than agreed purchase quantity
 (1) For the purposes of section 19, the price for a quantity of an ingredient of an extemporaneously‑prepared pharmaceutical benefit, where the quantity of the ingredient is less than the agreed purchase quantity of the ingredient, is worked out using the following method:
  Method
Step 1  Refer to the table in subsection (3) to identify the basic pricing unit that applies for the quantity of the ingredient.
Step 2  Find the basic pricing unit from Step 1 in column 2 of the table in subsection (4), and then work out the basic wholesale price for the corresponding quantity specified in column 3. Where this quantity is not the agreed purchase quantity, the basic pricing unit will be proportional basic wholesale price.
Step 3  Calculate the cost of the basic pricing unit by applying the corresponding quantity factor calculation in column 4 of the table in subsection (4) to the basic wholesale price from Step 2.
Step 4  If, for the quantity of the ingredient to be supplied, there is a corresponding "price as" quantity specified in column 4 of the table in subsection (3), use the "price as" quantity as the quantity of the ingredient supplied in the benefit for Step 5.
Step 5  Calculate the price for the quantity of the ingredient supplied in the benefit by dividing the quantity of the ingredient, or the "price as" quantity if applicable, by the quantity of the basic pricing unit and multiplying that amount by the cost of the basic pricing unit.

 (2) For the purposes of subsection (1), the quantity of the ingredient will be calculated to the next higher 50 mg or 50 microlitres.
 (3) For the purposes of subsection (1), the basic pricing units and "price as" quantities for quantities of ingredients referred to in Steps 1 and 4 of the Method are:
Basic pricing units for quantities of ingredients
Item                                               Quantity                                                Basic pricing unit  Price as