Question

If the terms specified on an invoice are 2/15, n/30, this means that a discount of 2% will be allowed if payment is made within 15 days from the date of the invoice.

a. True

b. False

Answer 1

The terms 2/15, n/30 on an invoice confirm that a 2% discount is offered if payment is made within 15 days; otherwise, full payment is due in 30 days. Therefore, the given statement is True.

Step-by-step explanation:

The statement that if the terms specified on an invoice are 2/15, n/30, this means that a discount of 2% will be allowed if payment is made within 15 days from the date of the invoice is true. These terms indicate that the buyer can take a 2% discount on the invoice amount if the payment is made within 15 days. However, the full invoice amount is due within 30 days if the discount is not taken advantage of within that 15-day period.