When goods are sold to a customer with credit terms of 2/15, n/30, customerswillreceive a 2% discount if they pay within 15 days.O receive a 2% discount if they pay 15% of the amount due within 30 days.O receive a 15% discount if they pay within 2 days.O receive a 15% discount if they pay within 30 days.

Meaning of Terms: Note: 2/10, n/30: Here, 2 represent the discount rate if payment is made within…

When goods are sold to a customer with credit terms of 2/15, n/30, customers will receive a 2% discount if they pay within 15 days. receive a 2% discount if they pay 15% of the amount due within 30 days. O receive a 15% discount if they pay within 2 days. O receive a 15% discount if they pay within 30 days.

When goods are sold to a customer with credit terms of 2/15, n/30, customers will receive a 2% discount if they pay within 15 days. receive a 2% discount if they pay 15% of the amount due within 30 days. O receive a 15% discount if they pay within 2 days. O receive a 15% discount if they pay within 30 days.

Financial Management: Theory & Practice

16th Edition

ISBN:9781337909730

Author:Brigham

Publisher:Brigham

Chapter16: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 8P: Captain Whitman Ship Supplies offers terms of 3/15, net 45. If a purchaser takes the discount and...

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The credit terms offered to a customer by a Merchandise Business are 2/10, n/30, which means that a. The customer can deduct a 2% discount if the bill is paid within 30 days of the invoice date. The customer can deduct a 2% discount if the bill is paid between the 10th and 30th day from the invoice date. c. The customer must pay the bill within 10 days. d. The customer can deduct a 2% discount if the bill is paid within 10 days of the invoice date.
The credit terms offered to a customer by a business firm are 2/10, n/30, which means that the customer must pay the bill within 10 days. the customer can deduct a 2% discount if the bill is paid within 10 days of the invoice date. the customer can deduct a 2% discount if the bill is paid between the 10th and 30th day from the invoice date. two sales returns can be made within 10 days of the invoice date and no returns thereafter.
Washington Products offers credit terms of 3/10, n/45. Which of the following statementsis correct?a. The customer can take a 3% discount if the bill is paid within 45 days of the invoice date.b. The total amount of the invoice must be paid within 10 days of the invoice date.c. A discount of 3% can be taken if the invoice is paid within 10 days of the invoice date.d. No discount is offered for early payment.
Company XYZ sold goods worth $5,000 on credit with a 2% discount if paid within 15 days. The customer paid the invoice after 20 days. What amount did the customer pay?
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A plumbing supply company has a discount policy which states that, if a customer pays within 15 days of the invoice, the customer can take a 3% discount; otherwise, the full amount is due in 60 days from the date of the invoice. Which of the following notations are used in business to reflect this discount? A. 3/15,n/60 B. 3/60,15/n C. 15/3,60/n D. 3/n,15/60
The credit terms offered to a customer by a business firm were 2/10, n/30, which means the customer can deduct a 2% discount if the bill is paid between the 10th and 30th day from the invoice date. the customer can deduct a 2% discount if the bill is paid within 10 days of the invoice date. two sales returns can be made within 10 days of the invoice date and no returns thereafter. the customer must pay the bill within 10 days.
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Credit terms are 1/10, n/30 indicates that the buyer is allowed a 10% discount if payment is made within 30 days allowed a 1% discount if payment is made within 10 days allowed a 1% discount if payment is made within 30 days allowed a 30% discount if payment is made within 10 days.
When customers purchase goods on account, Spitz Manufacturing offers them a 2% reduction in the amount owed if they pay within 10 days. This is an example of a: Multiple Choice Sales return. Sales discount. Sales allowance. Bad debt.
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