How Many of the Following Statements Regarding Discounts Are True

question 71

Multiple Choice

How many of the following statements regarding discounts are true?
If a company offers a discount to encourage prompt payment and the discount is taken, the discount reduces the amount of Net Sales.
Credit terms of "2/10, n/30" mean that if payment is made in two days, a 10% discount may be taken; if not paid within two days, the full invoice price will be due in thirty days.
The terms "sales discounts" and "purchase discounts" are used interchangeably by a company.

• A) None
• B) One
• C) Two
• D) Three

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Definitions:

Bandwagon

A phenomenon where individuals adopt behaviors, styles, or attitudes because they are popular or trending, regardless of their own beliefs.

Common Interests

Shared preferences, goals, or concerns among a group of individuals or entities.

Community

A group of people with a shared interest, location, or purpose, interacting and supporting each other.

Storytelling

The art of conveying stories or narratives through words, images, or other media.