Discounts—Key Exercises

Basic Data Setup

Company

Purpose: The purpose of this exercise is to show you how to set up the basic data required for running this particular functionality.

Windows:
Company

1. Open the Company window and query for your company.
2. On the Invoice tab, verify that the Cash Discount Based on Gross Amount check box is selected.
3. Click the Payment tab. Verify that both VAT Reduction at Cash Discount and Suggest Discount for Partial Payments check boxes are selected.

Payment Terms

Purpose: The purpose of this exercise is to show you how to set up the basic data required for running this particular functionality.

Windows:
Payment Terms

1. Open the Payment Terms window.
2. Add a new payment term with "Even" tax distribution and no check boxes cheked. Save.
3. Highlight the payment term, right click and click Payment Term Details.
4. Add a new payment term detail, installment no. 1, with 30 days to the due date and for 100 percent of the net amount. Save.
5. Highlight the installment line, right click and click Payment Term Discount.
6. Add two new discount terms (detail lines) for installment no. 1, with the following contents:

7. Save the record. 

Required Data

Create Customer Invoice

Purpose: The purpose of this exercise is to show you how to enter the data required for the exercises below.

1. Enter an invoice with the previously defined payment term.

Note: After saving the invoice, you will see the installment and the calculated discount dates and amounts for this invoice in the Installment Plan and Discounts tab.

General exercise for Manual Customer Invoices

Main Exercise

Customer Payment Including Cash Discount

Purpose: The purpose of this lesson is to show you how to enter a customer payment, including a cash discount.

Windows:
Mixed Payment

1. Open the Mixed Payment window, and create a new record.
2. Select the cash account where the cash was received.
3. Enter a payment date that is less or equal to one of the discount dates for the invoice/installment.
4. Select a balance method.
5. Click the Transactions tab, and create a new record. This tab has many columns that are used for different transaction types, but only a few are used for entering a customer payment.
6. Enter the information from the table below.

7. Save the record (F12).
8. Select the transaction line, right-click, and then click Match Payment. Two windows appear: the Matching window and then the Select Batch of Invoices window.
9. In the Select Batch of Invoices window, select your invoice/installment, and click OK. The invoice/installment is copied to the Matching window.
10. Check the amounts on the invoice/installment line in the Matching window. The remaining amount should be zero if the entered paid amount matches the invoice/installment amount minus the cash discount. The suggested discount amount is also visible on the line and can be manually changed.

Note: By highlighting the invoice/installment line (in the Matching window) and clicking View Discounts, you can see the discount terms for this invoice/installment. By highlighting the invoice/installment line and clicking Withdrawals, you can see all withdrawals that will reduce the necessary payment amount for this invoice/installment, discount, write-off, and deductions.

11. Click OK to close the Matching window.
12. In the header portion of the Mixed Payment window, right-click and then click Approve. A window appears with payment voucher information.
13. Click OK. A window appears with the payment and voucher number that were created.
14. Click OK to close the window.