A
cash discount of 2/10, net 25:()
A: grants
customers 25 days to pay after the discount period expires.
B: discourages
customers from paying early.
C: grants
free credit for a period of 25 days.
D: charges
lower prices to customers who are granted credit.
E: grants
customers an additional 15 days to pay if they forfeit the discount.
cash discount of 2/10, net 25:()
A: grants
customers 25 days to pay after the discount period expires.
B: discourages
customers from paying early.
C: grants
free credit for a period of 25 days.
D: charges
lower prices to customers who are granted credit.
E: grants
customers an additional 15 days to pay if they forfeit the discount.
举一反三
- Which<br/>one of the following statements is correct if you purchase an item<br/>with credit terms of 2/5, net 15?() A: If<br/>you pay within two days, you will receive a 5 percent discount. B: If<br/>you pay within 2 to 5 days, you will receive a 15 percent discount. C: If<br/>you do not pay within 5 days, you will be charged interest at a 15<br/>percent annual <br/>rate. D: If<br/>you pay within 5 days, you will receive a 2 percent discount. E: You<br/>must pay the discounted amount within 15 days.
- Which<br/>one of the following will not affect the operating cycle?() A: decreasing<br/>the payables turnover from 7 times to 6 times B: increasing<br/>the days sales in receivables C: decreasing<br/>the inventory turnover rate D: increasing<br/>the average receivables balance E: decreasing<br/>the credit repayment times for the firm’s customers
- The<br/>term cash as used on the statement of cash flows includes all of the<br/>following (<br/>) A: cash<br/>due from customers within 30 days. B: cash on hand. C: cash equivalents. D: cash in bank.
- Credit<br/>terms of 2/10, n/30 mean that the purchaser may deduct 2 percent if<br/>the invoice is paid within 10 days, with the full amount due in 30<br/>days if the early payment option is NOT exercised.( )
- After receiving a credit card statement, within how many days does the holder have to pay? A: 12 days. B: 25 days. C: 20 days. D: 15 days.