I just figure out that I can’t give a sales discount to my customer (in account receivable case) if they pay early, let say I have term 2/10 n/30, I can’t give my customer a 2% discount when they pay the account receivable in 10 days. I have to make a sales discount account and when I click receive money, I have to add line and record the sales discount in minus to reduce total amount I received.
would you please add automatic sales discount by activated 2/10 term? That’s really help
I am looking forward for this, thanks
Yes I have talked about this before. There are two kinds of discount.
Cash discount (usually use to encourage early settlement)
Trade discount (the one available in manager)
Cash discount allowed or received must be shown in the financial statement as loss and gain respectively because it a discount due to financing policy.
I have created a cash discount income and expense account which i calculate and add to lines when I allow cash discount or get cash discount, as a result of early payment. it functions very well, the only problem is that it not inbuilt and therefore you have to calculate and strike it yourself. I will add images of it later
The most correct way would be to issue a credit note to customer for the early settlement discount amount. Maybe in future, Manager could have a system which would detect these early settlements and generate credit notes automatically.
