Cash discount represents the discount that will be applied to the customer payment, if the payment is made before the due date. This encourages the customer to pay before the due date. Cash discount has the flexibility to assign the next cash discount, which could be a deal with the customer. In order to create the cash discount record, navigate to Accounts receivable | Payments setup | Cash discounts.
As shown in the following screenshot, which represents the Cash discounts form, the Setup fast tab identifies the discount percentage, number of months, and number of days. It is important to assign the main account for customer discounts:
Assume that an invoice has been posted on January 1, the cash discount is 4% if the invoice ...
