Applying Discounts (BC365)

setup discounts in business central the effect of the early payment discount is determined by payment conditions (percentage/expiry date formula) vendor/customer posting group settings setting in the transaction type, linked to the bank account payment terms the payment terms specify the various conditions that can occur when making agreements about payments with customers and suppliers the payment conditions determine whether there is a payment discount customer vendor posting groups the ledger accounts to which the payment discount amounts will be posted are set in the vendor and customer posting groups utilizing discounts when creating a purchase invoice, you can fill in the payment discount terms as agreed on with your vendor under the invoice details section once the invoice has been created, you can post it so that is available to payment you can then navigate to the pay invoices page and create a payment