In this configuration step define terms of payment, you can define rules with which the system can determine the required terms of payment automatically. The rules are stored under a four-character key. You can assign the terms of payment specified to the vendors in the master record via the key. The key and the terms determined with it are proposed when entering a document to the vendor account.
Material Management > Purchasing > Vendor master > Define terms of payment
- Click on the new entries
- Enter the 4 digit alphanumeric code and maintain text.
- Select the account type either customer or vendor or both.
- In the example NT30 - Net payment in 30 days. ( Enter 30 in the days)
- For installment, tick the box installment payment.
In XK01 - Create vendor centrally. The payment terms are maintained in Company code data and also in Purchase organization data.