A company has the possibility to pay off a line of credit early for a 2% discount rate if paid off in 25 days.There are 24.333 discount periods for the year for this money if the discount is not taken.What are the terms for this cash discount?
A) 2/25 net 50
B) 2/25 net 40
C) 2/25 net 60
D) 2/25 net 70
E) 2/25 net 30

Question

Quizplus · Accepted Answer

11ea7fdb_fc40_5030_a768_2d70d59c9d22_TB2902_11 = 24.33

A Company Has the Possibility to Pay Off a Line