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The Cost of NOT Taking a Discount Is Higher for Terms

question 61

True/False

The cost of NOT taking a discount is higher for terms of 2/10, net 60 than for 2/10, net 30.


Definitions:

Net Profits

The sum left over once all costs, taxes, and expenses have been deducted from the total income.

Partnership Status

The legal standing of a business entity comprising two or more individuals who share management and profits.

Compensation

Payment or benefits awarded to individuals for their services, labor, or for losses suffered.

Creditors

Individuals or entities that are owed money by debtors.

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