Which of the Following Is Correct Concerning Terms of Trade

question 94

Multiple Choice

Which of the following is correct concerning terms of trade credit of 4/10, EOM, net 90?

• A)The discount period expires on the last day of the month.
• B)The invoice becomes delinquent 90 days after the last day of the month.
• C)The discount period ends on the tenth day of the month following the invoice.
• D)The discount period ends either 10 days after invoicing or at the end of the month, whichever is earlier.

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Definitions:

Mass Customization

A strategy that combines mass production techniques with customized outputs, allowing for products to be personalized to individual customer specifications at a large scale.

Build-To-Order Manufacturing

A production approach where goods are made only after receiving a customer's order, allowing for high customization but requiring sophisticated planning and operational efficiency.

Environmentally Conscious Materials

Materials chosen and used with consideration for their environmental impact, promoting sustainability and reducing ecological harm.

Multiple Products

Offering a variety of different goods or services within a business to appeal to different customer needs or market segments.