AdhithAug. 31, 2019
Cash discounts are an incentive (usually a small percentage) that you offer to customers in return for paying a bill owed before the scheduled due date. If used properly, cash discounts improve the Days Sales Outstanding aspect of a business's cash conversion cycle. Companies offer various types of discounts at the time of selling. So that customers only pay the amount( total amount-discount). But here how to manage cash discount after generating invoices. Discount payment in Odoo provides a random solution in such cases.
For example, you made a sale on credit to a customer, but one week later the client’s business declared bankruptcy and became completely unable to pay off the credit account with you. This noncollectable debt would then be written-off by your company and recorded as an expense by accountants.
Normally companies prepare a customer discount before invoicing. But with the help of Odoo we can manage the discount even after the generation of invoices in case of need(at the time of payment). To get a clear idea behind this concept, consider the example:-
invoicing->Documents->customer invoices->create invoice
After validating invoice.
To get a clear idea,
I used the term which is in Odoo. Look at the explanation below:
60,000 INR is the invoice amount which I need to pay.
50,000 INR is the amount that I paid.
The difference that I have to pay (that is still open) is 10,000 INR. 10,000 INR must be paid.
There are 2 options are available:
1. Keep Open
By choosing this option another Odoo invoice will be generated(it includes amount due that you need to pay)
2. Mark invoice as fully paid
Now, customer is telling that he will not pay remaining amount for any reason. So it require to make settlement for our accounting means make write-off on customer invoice.
And then click on valid
You can see that amount due is 0.
Thus we can handle discount:
When we click on paid on, we can see that the paid amount that is 50,000.
sales->configuration->settings->pricing->put tick mark on Discount