SM-D  Enter Terms Table

Purpose of Program

Use this program to enter or change the terms that you want to use for payment on invoices.  What you enter here will be used when creating vouchers, invoices, purchase orders, or recording payments in both Accounts Receivable and Accounts Payable.

Field Explanations

Term Num

You are allowed to have up to 99 different terms types.  

NOTE:  The terms that you create in the first position of your term choices is the default that will be used for NSF checks, interest charges, PR tax and commission transfers.  You should use a non-specific term in this position, such as NET 30.

NOTE:  Sales Orders, Purchase Orders and Accounts Payable and Accounts Receivable invoices only store the Terms Number in the database to establish appropriate terms.  Once the Terms Table has been established and order processing has begun, you should not rearrange the order of items on the terms table as it will affect the existing orders and invoices which will now reference different terms than originally posted.

Description

This is the terms specifier that will print in the Terms section on invoices, PO's, etc.  This is a 20 character alphanumeric field.  It is also used as the reference on pop-up menus when you are selecting a terms type.

Disc Amt

The amount of discount allowed if paid within the discount days.  This is a 2 digit numeric field with 2 decimal places.  2% would be entered as 2.00, not 0.02.

Typ

If the discount you entered above is a percentage, enter %.  If it is a dollar amount, enter $.  If this is a cash type term, then enter a C or A.  When SO-G, Post Invoices, or AR-B Enter Vouchers  encounters a cash item, it posts the amount directly to the default AR cash account instead of creating a receivable for it.  If you want to be prompted for which bank account to use, enter an A (Ask for the account).  If you enter this type, the invoicing programs will allow you to select from checking accounts at the time you are posting the invoice or voucher.  Cash type terms post to both the Cash Receipts and Sales Journals in the General Ledger and make a check register deposit entry dated the same day as the invoice posting.  For credit card payments or COD, the payment is often a few days after the invoice posting so "Cash" type to your operating bank account is really not appropriate.   An alternative for credit card processing would be to post as cash type to a "dummy" bank account called "Credit Card pending" and then periodically use GL-K  Transfer Bank Account Funds to move the funds to the operating account as you receive notification from the bank that the funds are in your account.

Days

The number of discount days allowed.  The invoice must be paid within this limit to qualify for the discount.  This is a 3 character numeric field.

Max Days till Due

The maximum number of days allowed before the invoice is overdue.  This is a 3 character numeric field.

General Program Operation

You must have at least one term specified in this file for the programs requiring a terms type to work properly.  Once you have entered some terms, they will be automatically displayed in a pop-up window during any transaction that requires a term designation.