A Firm Has Just Received an Invoice for $1,000 with the Following

question 154

Multiple Choice

A firm has just received an invoice for $1,000 with the following terms: 3/10, net 30. In this case, the firm:

• A) should not worry about earning the cash discount because the amount is small.
• B) can take a 10 percent discount if it pays within 3 days, and otherwise the full amount is due in 30 days.
• C) can take a 3 percent discount if it pays the invoice on the 30^th day.
• D) in effect, will be borrowing at an annual rate of 54 percent if it pays the invoice in 30 days.
• E) should pay $900 if it pays within 10 days.

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Definitions:

Daughter Cell

A cell that results from the division of a single parent cell, usually having the same genetic material as the parent cell.

Meiosis II

The second division of meiosis in which sister chromatids separate, ultimately resulting in four haploid cells from the original diploid cell.

Chromosome Number

The total number of chromosomes present in the nucleus of a cell, characteristic of each species.

Daughter Cell

A cell that results from the division of a single parent cell, inheriting the genetic material of the parent.