An Invoice for $620 Dated November 5 with Payment Terms

question 149

Multiple Choice

An invoice for $620 dated November 5 with payment terms of 3/10, 2/15, n/30, was paid in full on November 15. What was the amount paid?

• A) $18.60
• B) $613.80
• C) $620.00
• D) $607.60
• E) $601.40

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Definitions:

Life Cycle Costing (LCC)

An approach used to assess the total cost of ownership, considering all costs associated from acquisition through disposal of an asset.

Capital Acquisitions

The process of procuring assets or capital goods that contribute to an organization's productive capacity, often involving significant investment.

Purchase Price

The amount of money paid to acquire a good or service, not including any additional costs like delivery or installation.

Supply Cost Savings

Reductions in the amount spent on acquiring goods or services, enhancing overall profitability.