When goods are sold to a customer with credit terms of 2/15,n/30,the customer will receive a:
A)15% discount if they pay within 2 days.
B)2% discount if they pay 15% of the amount due within 30 days.
C)15% discount if they pay within 30 days.
D)2% discount if they pay within 15 days.

Question

Quizplus · Accepted Answer

The credit terms,2/15,n/30,mean that 2% of the invoice amount may be deducted if the invoice is paid in 15 days.Otherwise,the full amount is due in 30 days.

When Goods Are Sold to a Customer with Credit Terms