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A Business Offers Credit Terms of 1/15, N/30

Question 51

Multiple Choice

A business offers credit terms of 1/15, n/30. These terms indicate that:


A) the total amount of the invoice must be paid within 15 days.
B) a discount of 1% can be taken if the invoice is paid within 15 days.
C) the buyer can take a 1% discount if the bill is paid within 15 or 30 days.
D) no discount is offered for early payment.

Correct Answer:

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