Defining net terms

Use net terms to establish a net due date based on a set number of days from the invoice date. The program calculates the discount amount and the discount date from the discount percent and the discount day. For the discount logic to be valid, you must enter both the discount percent and discount day. The discount percent cannot be greater than 100, and the discount day must be less than the net due day.

This procedure outlines the process for defining net terms.

Access Maintenance (TE01.2), Net tab.
Specify a term code and description, and define the net terms for that code. Use these guidelines to specify the field values:

Type

Select Net (N).

Discount Percent and Discount Day

If you want to define a discount for this term, then specify the percent of the discount and the number of days following the invoice date that a discount can be taken.

Net Day - or -Net Months

Specify the number of days or months to be added to the invoice date to calculate the net due date.

Anticipation

Select Yes or No to indicate if invoices assigned to this net payment terms code are eligible for anticipation discount in the Lawson Accounts Payable application. If you select Yes, then you must define an anticipation discount percent on Vendor (AP10.1).

Status

Select the status of the net terms code: Active (A) or Inactive (I).
(Optional) To test a term code using a sample invoice date and amount, access Preview (TE01.3).