"terminal ... seems to be good option for me."

That's why we suggested it! ;-)

"Since i want to disply information on the terminal using a microcontroller, can you suggest some documentation on how to go about it."

Using a terminal, it's simply a matter of sending the appropriate text strings out of the serial port (UART) - see the Tutorials and Code Library, and it's been discussed ad nauseam here in this forum - try a 'Search'

Don't forget that you need a converter between the 0-5V (or whatever) logic levels of the microcontroller's port pins and the +/-12V or so of RS-232; eg the MAX232 and all its derivatives, etc etc.