If an invoice shows a total of $4,000 with terms 2/10, n/30, the customer may pay $3,920 within 10 days to satisfy the bill.

Question

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The terms 2/10, n/30 indicate that the customer can receive a 2% discount if they pay within 10 days, otherwise the full amount of $4,000 is due within 30 days. Therefore, if the customer pays $3,920 within 10 days, they are taking advantage of the discount and satisfying the bill.

If an Invoice Shows a Total of $4,000 with Terms