You will learn how to configure customer discounts of different types in Acumatica ERP and how the system applies the discounts in AR invoices and sales orders.

Customer discounts can be used as an effective tool of your organization’s overall marketing strategy—for example, to stimulate sales of new products, promote new branches of the organization, and accelerate the sales of items that are becoming obsolete. In Acumatica ERP, your company can configure various types of customer discounts: unconditional or condition-based, simple or tiered, and automatically or manually applied .

In Acumatica ERP, any configurable customer discount is defined by a combination of the settings specified for a discount code and a discount sequence. You configure these entities as follows:

• You design discount codes by using the Discount Codes (AR209000) form, where for each discount code, you specify the type of the discount (automatic or manual), the level on which the discount is applied (a particular line, a group of lines, or the entire document), and the type of conditions under which the discounts of the discount code are applied. For more information about discount codes, see Customer Discounts: Discount Codes.
• You create discount sequences for each discount code by using the Discounts (AR209500) form. A discount sequence defines the particular discount percent, fixed amount, or quantity of a free item; the sequence also defines the particular conditions of discount application. For more information about discount sequences, see Customer Discounts: Discount Sequences.

Line discounts are not accounted for in a separate GL account. The discount amount is simply deducted from the amount to be paid by the customer, and the reduced amount is debited to the accounts receivable account specified in the AR Account box on the GL Accounts tab of the Customers (AR303000) form.

Discounts applied to a group of lines or to a document as a whole are debited to a separate expense account specified that is for the customer in the Discount Account box on the GL Accounts tab of the Customers form.