Dennis has made a purchase of $50,000 using trade credit with terms of 2/10 net 30.How much discount will a he receive if the buyer pays the bill on the net due date?
A)$0
B)$500
C)$1200
D)$3,000

Question

Quizplus · Accepted Answer

The terms 2/10 net 30 mean that the buyer can receive a 2% discount if they pay the bill within 10 days, otherwise the full amount is due in 30 days. Since the question specifies that the bill is paid on the net due date, there is no discount applied. Therefore, the answer is A, $0.

Dennis Has Made a Purchase of $50,000 Using Trade Credit