A Firm's Credit Terms Specify '1/10 Net 30' and the Accounts

question 61

Multiple Choice

A firm's credit terms specify '1/10 net 30' and the accounts receivable days outstanding is 32 days. Which of the following can be concluded on the basis of this information?

• A)All customers pay late.
• B)All customers have paid within 32 days of purchase.
• C)The average customer pays two days late.
• D)Most customers pay on time.

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