nandise Business are 2/ s that The customer can dedi

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter9: Accounting For Receivables
Section: Chapter Questions
Problem 4Q: American Signs allows customers to pay with their Jones credit card and cash. Jones charges American...
icon
Related questions
Question
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.
Transcribed Image Text: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.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Basic Accounting Terms
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College