Defining the Document Type for the Vendor Net Procedure
When you post a vendor invoice, you use the document type to specify whether you want to use the vendor net procedure. In this procedure, the system automatically splits the offsetting postings into the net amount and the cash discount due. This is done when the document is posted.
The vendor net procedure can be used for example, to post vendor invoices to assets. The exact acquisition amount, less any cash discount, is posted to asset accounts.
You have defined that you want to use the vendor net procedure. To do this, you specify a document type that is defined as a net document type. Document type KN has already been defined for the net posting procedure in the standard system.
To define your own net document type, you need to set it as such by choosing Net document type in Customizing. In addition, make sure that the required account types are specified in the Account type field. In the standard system, these are G/L accounts, asset accounts, and vendor accounts.
The vendor net procedure cannot be used when posting to customer accounts.