Hasan receives an invoice for $103.50 dated September 30, with terms 5/10, 2/30, n/60. He decides to pay it in full on October 25. What is the total amount paid to settle the account?

Question

Quizplus · Accepted Answer

The terms 5/10, 2/30, n/60 mean that Hasan can take a 5% discount if he pays within 10 days, a 2% discount if he pays within 30 days, and the net amount is due within 60 days. Since he pays on October 25, he is within the 30-day window, so he gets a 2% discount. The calculation is $103.50 * 0.98 = $101.43.

Hasan Receives an Invoice for $103