. Explain what the terms 2%/7 days and net 30 days represents when included in asales invoice

Multiple Choice QuestionWhat do trade credit terms of 2/15 net 30 mean to a buyer?Multiple choice question.A discount of 2 percent is offered if the bill is paid within 15 days, otherwise, the entire amount is due within 30 days.A discount of 15 percent is offered if the bill is paid within 2 days, otherwise, the entire amount is due within 30 days.A discount of 20 percent is offered if the bill is paid within 15 days, otherwise, the entire amount is due within 30 days.A discount of 20 percent is offered if the bill is paid within 150 days, otherwise, the entire amount is due within 300 days.

Select all that applyExplain what the credit terms of 2/10,n/30 mean.Multiple select question.The full payment is due within a 30-day credit period.The buyer can take a discount of 10% if the invoice is paid with 30 days of the invoice date.The full payment is due within 10 days.The buyer can deduct 2% of the invoice amount if payment is made within 10 days of the invoice date.

On July 1, the company receives an invoice for $800 with the terms 1/10, net 30. On July 15 , the payment should be

Wombat Pty Ltd purchased inventory with an invoice price of $1,000 and credit termsidentified on the invoice of 2.5/10, n/30. What do these terms mean to Wombat Pty Ltd?a. no discount is applicable if paid within 10 days.b. the full invoice value of $5,000 is payable within 10 days.c. a discount of 2.5% applies no matter when the invoice is paid.d. a discount of 2.5% will be applied if the invoice is paid within 10 days of the date ofthe invoice.

The implied annualized approximate trade credit cost for the following payment terms "2/10 net 60" is (assume 360 days in a year)