What is 'day in arrears' in SAP IS-U-CA - Contract Accounts Receivable and Payable?

day in arrears - Overview

• Component: IS-U-CA

• Component Name: Contract Accounts Receivable and Payable

• Description: Number of days that an item must be overdue in order to reach the next dunning level.

day in arrears - Details

• 
  Key Concepts: 
  Day in arrears is a term used in the SAP IS-U-CA Contract Accounts Receivable and Payable component. It refers to the number of days after the due date of a payment that a customer is allowed to make their payment before being charged a late fee. 
  
  How to use it: 
  In SAP IS-U-CA, day in arrears is used to set the number of days after the due date of a payment that a customer can make their payment without being charged a late fee. This setting can be adjusted in the system settings. 
  
  Tips & Tricks: 
  It is important to set the day in arrears setting correctly, as it will affect how customers are charged for late payments. It is also important to ensure that customers are aware of the day in arrears setting, so they can make their payments on time. 
  
  Related Information: 
  The day in arrears setting is related to other settings such as interest rate and penalty rate, which are used to calculate the amount of interest or penalty that customers will be charged for late payments.