Forecast Computations for Sales Orders with Billing Schedules
In this SuiteApp, forecast dates for sales orders with billing schedules are computed as the sales order billing schedule bill date plus the payment terms.
Forecast date = Sales order billing schedule bill date + Payment terms
Payment terms on the billing schedule override any payment terms set on the sales order.
The following examples show how forecast dates are computed for sales orders with billing schedules.
Example 1
The payment term set on the sales order is Net 15 and there are no payment terms set on the billing schedule record.
The forecast date is calculated by using the date specified on the billing schedule, that is the date when the invoice is scheduled for, and adding 15 days from the payment term.
For example, if the billing schedule bill date is October 1, the forecast date is October 16. The forecast date is computed as October 1 plus 15 days. The forecast amount shows on October 16 in both the Cash Forecast table and Cash 360 dashboard.
Example 2
The payment term set on the sales order is Net 15.
The payment terms set on the billing schedule are as follows:
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Initial payment term = Net 30
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Initial payment = $0
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Recurrence payment term = Net 60
The payment term on the billing schedule overrides the payment term on the sales order to the calculate forecast date. Normally, Net 30 is used as the payment term. However, because there is no initial payment, nothing is invoiced. In this case, the recurrence payment term of Net 60 is used for the forecast date.
For example, if the billing schedule bill date is October 1, the forecast date is November 30. The forecast date is computed as October 1 plus 60 days. The forecast amount shows on November 30 in both the Cash Forecast table and Cash 360 dashboard.
Example 3
The payment term set on the sales order is Net 15.
The payment terms set on the billing schedule are as follows:
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Initial payment term = Net 30
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Initial payment = $1000
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Recurrence payment term = Net 60
The payment term on the billing schedule overrides the payment term on the sales order to calculate the forecast date. To calculate the forecast date, we will use Net 30 as the payment term since there is an initial payment. The recurrence payment term of Net 60 is used for succeeding payments.
For example, if the billing schedule bill date is October 1, the first invoice of $1000, has a forecast date of October 31. The forecast date is computed as October 1 plus 30 days. The forecast amount of $1000 shows on October 31 in both the Cash Forecast table and Cash 360 dashboard.