An invoice for $20,000 dated March 15 with terms 3/10, 2/20, n/30 is received in the mail on March 17^th. A payment of $10,000 is made on March 26. How much is credited to the account? A) $10,200 B) $10,150 C) $9,800 D) $9,850 E) $10,000

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Quizplus · Accepted Answer

The discount period is from March 17th to March 27th (10 days). The payment was made on March 26th, which is within the discount period. Therefore, the discount of 3% is applicable. The amount credited to the account is $10,000 - (3% x $10,000) = $10,200.

An Invoice for $20,000 Dated March 15 with Terms 3/10