Terms of Payment and Interest Calculation
Terms of payment involve the discount amounts and the related time frames for payment you send to your customers. The configuration for terms of payment is the same for both A/R and A/P. The same terms of payment can be used for both A/R (customer) and A/P (vendor) accounts. To configure terms of payment, follow the menu path Financial Accounting Accounts Receivable and Accounts Payable Business Transactions Outgoing Invoices/Credit Memos Maintain Terms of Payment.
After using this menu path, you are presented with the terms of payment overview screen, shown in Figure 5-1.
To create a new payment term, click the New Entries button. The payment ...