Debit and Credit Adjustments: Debit Adjustments with Cash Discounts

Debit adjustments that you create in MYOB Acumatica can have credit terms specified. As a result, these documents can include a cash discount.

Ability to Apply Cash Discounts to Debit Adjustments

To turn on the application of cash discounts in debit adjustments, on the Accounts Payable Preferences (AP101000) form, you select the Use Credit Terms in Debit Adjustments check box in the Data Entry Settings section.

You create debit adjustments with a cash discount on the Bills and Adjustments (AP301000) form by specifying the needed credit terms in the Terms box. The following table shows the availability of the Terms, Cash Discounts Date, Due Date, and Cash Discount boxes (that is, whether these settings can be edited), which depends on the status of the selected debit adjustment.

Cash Discount Settings in Debit Adjustments

When you create a debit adjustment on the Bills and Adjustments (AP301000) form by copying an existing one, the system inserts the settings as follows:

• If the original debit adjustment has credit terms specified, the Terms, Cash Discount Date, Due Date, and Cash Discount settings are copied from the original document to the new document, and these boxes are available.
• If the original debit adjustment has no credit terms specified, the vendor's settings are copied from the Vendors (AP303000) form to the Terms, Cash Discount Date, Due Date, and Cash Discount boxes, and the boxes are unavailable. If the Use Credit Terms in Debit Adjustments check box is selected on the Accounts Payable Preferences (AP101000) form, the Terms is copied from the vendor's settings and the values in the Cash Discount Date, Due Date, and Cash Discount boxes are calculated based on these terms.

When you create a debit adjustment by reversing a bill or a credit adjustment, the system inserts the settings as follows:

• If the Use Credit Terms in Debit Adjustments check box is selected on the Accounts Payable Preferences (AP101000) form, the Terms, Cash Discount Date, Due Date, and Cash Discount settings are copied from the original document, and these boxes are available.
• If the Use Credit Terms in Debit Adjustments check box is cleared on the Accounts Payable Preferences form, the Terms, Cash Discount Date, and Due Date boxes are empty, and the Cash Discount is 0.00. All these boxes are unavailable.

When you create a credit adjustment by reversing a debit adjustment, the system inserts the settings as follows:

• If the debit adjustment has credit terms specified, its Terms, Cash Discount Date, Due Date, and Cash Discount settings are copied from the debit adjustment to the credit adjustment.
• If the debit adjustment has no credit terms specified, the Terms are copied from the vendor settings on the Vendors (AP303000) form, and the Cash Discount Date, Due Date, and Cash Discount settings are calculated based on these terms.

If a debit adjustment created on the Bills and Adjustments form has credit terms specified in the Terms box and the Pay by Line check box is selected, the system distributes the amount in the Cash Discount box among all the document lines.

If a debit adjustment created on the Bills and Adjustments form has credit terms of the Multiple installment type, cash discounts are not supported. In other words, the Cash Discount is set to 0.00 and unavailable for editing. If you change the credit terms in the Terms box, the system will recalculate the Cash Discount value depending on the selected credit terms.

For debit adjustments that are created by the system on the Expense Claim (EP301000) and Purchase Receipts (PO302000) forms, imported via an import scenario, or imported via the API, the system fills in the Terms, Cash Discount Date, Due Date, and Cash Discount boxes as follows:

• If the Use Credit Terms in Debit Adjustments check box is selected on the Accounts Payable Preferences form; the system copies the Terms from the vendor's settings, and the other settings are calculated based on these terms.
• If the Use Credit Terms in Debit Adjustments check box is cleared on the Accounts Payable Preferences form, these boxes are empty and unavailable.