This discount processing applies when the invoice is generated
and can be setup to encourage customers to pay their On Account
invoices by the Date Due, in order to maintain their eligibility to
receive discounts on future invoices.
When any invoice charged and posted on account becomes past due,
the discount eligibility is withdrawn for subsequent invoices,
until the account becomes current again. A grace period is allowed
before the customer actually forfeits the right to receive the
rental and/or sales discount.
Discount programs can be maintained in the Customer Discount
Programs window in the "Accounts Receivable" parameters on the
Accounting tab of the Configure System
Settings.
An operator must be assigned a Security
Role that allows permission to the Accounting - Customer
Discount Programs in order to access this table.
Discount Programs are not reflected in the Inventory Search results window, even when the "Apply Discounts to Search Results" flag is set in the Company Inventory Parameter.
A discount expiry period can also be set based on a defined number of Rental Days following the date the customer's account opened. This provides the ability to give new customers a discount for an initial period of business.
Different levels of the Customer Discount Programs can be setup
and assigned to preferred customers in the Standard Customer Special Pricing or Multi-Tiered Customer Special Pricing window of the
Customer Information.
These Discount Programs apply after all other discounts are
applied.
Note: If a Time-Based Discount is given
on a rental product, any Customer Discount Programs no
longer apply for that product.
Some Rental stores may prefer to use the Discount Programs as
incentive for preferred customers in place of Special Pricing
programs.
Discount Programs do not apply to Cash Customers.
Note: A Rewards Program can not be
assigned to a customer if the customer has already been assigned
any rental or sale discount percents, trade discount percents,
discount plans, special pricing, special rates codes, tiered prices
or rates, loyalty plan or delivery/pickup billing code.
The Discount Plan fields are disabled for a customer if that
customer has already been assigned a Rewards Code in the
Customer Codes window.
When an invoice that has benefited from a Discount Program is
reviewed in Change mode, the discount amount and program name can
be reviewed in a pop-up window on the Expanded product detail line
for both sales items and rental products.
The Discount % field in the expanded rental product detail
record on the document or on the Rental Return will not display a
percent value, because the discount is not necessarily a percent of
the whole rental period. (i.e. the discount could kick in after 10
rental days). The discount is displayed as a dollar amount in the
Disc Amt field.
Note: Rental equipment in product classes identified in the
"Additional Information" window of Rental
Product Class as not eligible for discounts will not be allowed
customer discounts.
Sales parts identified in the "Re-Order Information" window of
Sales Inventory as not eligible for
discounts will not be allowed customer discounts.
The prompts to setup the Discount Programs include:
If this discount plan is NOT an "Expiring Discount", enter the
number of days that rental equipment must be out on rent before the
"Rental % Discount" applies.
If "Rental Days" is zero or left blank, then there is no delay and
the rental discount applies immediately.
Note: If the ability to override Extended prices for sales parts is enabled in the Company Security Parameters, then the Sales % Discount in this program is ignored.
Enter the number of days grace period allowed for customers
subscribing to this Discount Program.
If any invoice posted On Account is past due according to the
customer's terms, by this number of days then that customer will no
longer receive the discounts on new invoices.
The program will be reactivated automatically when his account is
no longer past due, so that subsequent invoices will again be
eligible for the discounts in this program.
Eligibility for discounts is determined at the time that the
invoice is created according to the posted A/R.
This means that existing invoice discounts will not be affected
when the discount eligibility is withdrawn or when it is
reinstated.
If a customer is not eligible for the Discount Program at the time an invoice is created, a warning will be triggered on the screen after the invoice header information is completed, to alert the operator.
Check this box if this Discount Plan is designed to give new
customers an introductory discount from the date the customer
opened an account, for an initial period determined by the number
of days set in the "Rental Days" field.
The "Date Account Opened" is set for each customer in the "Credit
Information" window of Customer
Information.
Note: If the Date Account Opened is blank, the customer is not
eligible for this discount.
When a G/L account has been assigned to a Discount Program, then the Credit to the Product Class Revenue account is for the full rental charge (i.e. before discount), and an additional Debit is generated for the discounted amount to post to the specified Discount Posting Account during Daily Close.
The Discount Programs can now be assigned to preferred customers in the "Codes" window of Customer Information.
ACTIONS:
Additional actions provided by buttons on
the Customer Discount Programs screen include:
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