Author Question: The terms on an invoice are 4/15, n/30 . This means that a. a discount of 4 will be allowed if ... (Read 800 times)

LaDunn · **on:** Jul 5, 2018

The terms on an invoice are 4/15, n/30 . This means that
a. a discount of 4 will be allowed if payment is made within 15 days from the date of the invoice.
b. a discount of 15 will be allowed if payment is made with 4 days from the date of the invoice.
c. a discount of 4 will be allowed if payment is made by the 15th of the month.
d. a discount of 15 will be allowed if payment is made by the 4th day after the date of the invoice.

Question 2

Team Shirts issued a 10 stock dividend. The balance in retained earnings just before the dividend was 45,000. There were 15,000 shares outstanding on the day of the dividend.

The 1 par value stock had a market price of 17.25 on the day of the dividend. Total shareholders' equity will increase (decrease) by ________.
A) 4,500
B) 1,500
C) 25,875
D) 0