Which of the Following Is Correct Concerning Terms of Trade

question 7

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 10^th 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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