What Is Meant by the Term '1

question 2

Multiple Choice

What is meant by the term '1.5/14 net 30'?

• A)If the invoice is paid within 14 days, a discount of 1.5 percent can be taken; otherwise the invoice is due in 30 days.
• B)If the invoice is paid right away, a discount of 14 percent can be taken; otherwise a discount of 1.5 percent can be taken if paid within the next 30 days.
• C)If the invoice is paid within 30 days, a discount of 14 percent can be taken; otherwise the invoice is due 14 days after that day.
• D)If the invoice is paid within 1.5 days, a discount of 14 percent can be taken; otherwise the invoice is due in 30 days.

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Definitions:

Absolute Worth

The intrinsic value or fundamental importance of something, irrespective of its market value or conditions.

Direct Compensation

Monetary benefits provided to employees in exchange for their labor, including wages, salaries, bonuses, and commissions.

Absolute Pay Levels

The specific amount of monetary compensation given to an employee, not relative to external benchmarks or comparisons.

Relative Levels

Comparative rankings or positions of things or individuals in relation to one another within a particular context or hierarchy.