Manage accounts payable

Introduction Cash discounts are incentives offered by vendors to encourage customers to make payments within a specified period. In Accounts Payable, Dynamics 365 Finance can be configured to automatically calculate and apply these discounts based on the payment terms agreed with the vendor. This section explains how cash discounts are configured and managed in Dynamics 365 Finance, from setting up the discount parameters and discount principles to linking a discount to a vendor, applying it to a vendor invoice, and processing the payment. Understanding this process helps ensure that available discounts are correctly identified and applied when payments are made within the agreed discount period

TAUGHT BY Hoda Ali

Prepayments allow businesses to record payments made to vendors in advance of receiving the related goods or services. Microsoft Dynamics 365 Finance provides functionality to create, process, track, and apply vendor prepayments within Accounts Payable. This section provides a practical overview of the prepayment process, including the setup, processing of prepayment transactions, application of prepayments against vendor invoices, and the resulting accounting entries in the General Ledger.

TAUGHT BY Hoda Ali

Payment fees are additional charges that may arise when processing vendor payments, such as bank or remittance fees. Dynamics 365 Finance allows these fees to be configured and automatically applied during payment processing. This section explains how to set up payment fees, apply them to vendor payments, and verify the resulting accounting entries

TAUGHT BY Hoda Ali

Payment schedules in Accounts Payable are used when a supplier invoice needs to be paid in multiple instalments rather than as one single payment. They allow the business to define how the invoice amount will be divided and when each instalment becomes due. For example, instead of paying a £10,000 supplier invoice in full, the company may agree with the supplier to pay £2,000 each month over five months. In Dynamics 365 Finance & Operations, the payment schedule can be configured with the payment frequency and number of instalments, and the resulting instalments can then appear automatically when the AP team creates a payment proposal. This is particularly useful for large invoices, staged payments, or supplier agreements where payment is spread over a period of time. This document is going to explain how to configure payment schedules, types and how to use the schedule in payment proposals.

TAUGHT BY Hoda Ali

Prepayments allow a company to pay a vendor in advance for goods or services before the final invoice is received. In Dynamics 365 Finance, a prepayment can be created against a purchase order, with the business able to specify either a percentage or a fixed amount to be paid in advance. This section explains how to create and process prepayments, from setting up the required accounts and creating the prepayment invoice through payment, receipting, and final invoicing

TAUGHT BY Hoda Ali