Skip to content
Home » Trade Agreements – Total Value Discount

Trade Agreements – Total Value Discount


Trade agreements are the primary means by which pricing and discounts are set up and applied in Dynamics 365 Finance and Operations. Users must define under which circumstances trade agreements should be activated prior to the configuration of the system. These reflect the different prices (Sales prices, purchase prices) and discounts (Line discounts, Multiline discounts and Total discounts) that are agreed for purchases over a period of time. 

The Total Value discount trade agreement type is a discount that is applied to the entire order amount. You can set a total discount amount or a discount percentage. 

Total Value Discount in D365

To create a Total Value discount, create a journal and select a journal name with the “Default relation” of “Total discount (Sales)”. This will default the “Relation” field to “Total discount (Sales)”. Creating a total discount is the same as creating any of the other types of discount trade agreements. However, the “Product code type” field will automatically be set to “All” because the total discount is applied at the order level and not the line level. For example, if the total quantity of the order reaches 700 units, a 10% discount will be applied to the order total.

The total discount is visible on a sales order.