If a Firm Sells on Terms of 2/10 Net 30

question 64

True/False

If a firm sells on terms of 2/10 net 30 days, and its DSO is 28 days, then the fact that the 28-day DSO is less than the 30-day credit period tells us that the credit department is functioning efficiently and there are no past-due accounts.

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Definitions:

Community Policing

A strategy of policing that emphasizes building ties and working closely with community members to identify and solve problems.

Interpersonal Skills

The abilities used by a person to interact effectively and harmoniously with others.

Social Peacekeeper

An individual or entity that acts to maintain or restore peace and order within a community or society through mediation, conflict resolution, or fostering cooperation.

Public Service

Work carried out by individuals primarily for the benefit of society and the community rather than for private gain.