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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › substantive procedures for settlement discount
**Could you please suggest a few substantive procedures for settlement discount ? **Are the substantives of discount and settlement discount the same?
You should know from FA/F3 that there are two types of discount – trade and settlement.
The latter is conditional on prompt payment so to verify whether customers had the right to take the discount you would have to be comparing the date on which they paid with the specified payment terms.
Thank you !
You’re welcome!