21st Century Accounting Help - Receivables/Configure

Payment Terms

Payment terms reflect the arrangements for payment such as early payment discounts, due dates, and so forth, that your company makes with its customers and its vendors. You configure payment terms in Receivables and Payables/Configure/Payment Terms, and then assign the terms to customers and to vendors.

Customers
The payment terms you assign to a customer are used to calculate the customer's early payment discounts and finance charges when you enter customer receipts and age invoices.

Vendors
The payment terms you assign to a vendor are used to calculate your early payment discounts when you enter a payment to the vendor.