You need to charge your purchases and know that you will not be able to pay within the discount period. Which one of these credit terms is best-suited to you?
A) 1/5, net 15
B) 2/5, net 30
C) 2/5, net 20
D) 1/10, net 45
E) 2/10, net 30

Question

Quizplus · Accepted Answer

Option D, 1/10, net 45, offers the longest payment period of 45 days, which is beneficial if you know you cannot pay within the discount period, as it provides more time to pay without penalty.

You Need to Charge Your Purchases and Know That You