Author Question: A cash discount is quoted to a retailer as 3/10, net 60 . This means that: a. a discount of 3 ... (Read 263 times)

debasdf · **on:** Jun 29, 2018

A cash discount is quoted to a retailer as 3/10, net 60 . This means that:
a. a discount of 3 percent can be earned if paid off in 10 installments over the next 60 days.
b. the retailer will get a 10 percent discount if the total is paid in 60 days.
c. a 3 percent discount will be granted to the retailer if the bill is paid in 10 days.
d. the bill is due in 60 days, but a discount of 3 percent to 10 percent can be earned for paying it off sooner.
e. the total bill must be paid within 10 days.

Question 2

The availability of credit can increase customers' impulse buying and can also increase their willingness to purchase expensive items.

Indicate whether the statement is true or false