Accessed via Purchase Ledger Utilities Menu
This option is adding and maintaining Term Codes which can then be held against each Supplier.
A Term Code defines the payment agreement between your organisation and the Supplier.
Each Term Code has a code number and description and can be classified as Active or Inactive.
The term code can be set as either a set number of days (DAYS) or for End Of Month Following (EOMF) the invoice date.
DAYS - The Due Date will be calculated by the number of days entered here. So for 30 days nett, enter 30.
EOMF - End Of Month Following - If ticked this will override the DAYS field and invoices will not be due until the End Of Month following the invoice date.
EOM + DAYS - End Of Month plus stated days.
DAY CUT OFF FOR EOM - The number entered relates to the date within a month. Any invoices after this date in a month will be due for the following end of month.
For example:
for a 60 days end of month term code:
Tick the EOMF flag
EOM & Days = 60 (number of credit days)
Day cut off for EOM = 31 (last day of longest month)
ADD - Add a new term code.
REVISE - Amend the highlighted term code.
TOGGLE - Switch between active and all term codes
TEST - Test the due date given by the highlighted term code. First the invoice transactions date is asked for then the date this will become due for payment will be displayed.