If a company purchases $3,200 worth of inventory with terms of 2/10, n/30 on March 3 and pays March 12, then the amount paid to the seller would be

Name: If a company purchases $3,200 worth of inventory with terms of 2/10, n/30 on March 3 and pays March 12, then the amount paid to the seller would be
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Quizplus · Accepted Answer

The terms 2/10, n/30 mean a 2% discount is available if paid within 10 days. Since the payment is made on March 12, within the discount period, the company pays $3,200 - ($3,200 * 0.02) = $3,136.

If a Company Purchases $3,200 Worth of Inventory with Terms