Question

3. An invoice for $3,000 is dated April 27, and the merchandise was received on April 30. Terms

were 4/10 net 30 EOM. Calculate the discount date.

Answer 1

The discount date for an invoice dated April 27th with terms of 4/10 net 30 EOM is May 10th, which is calculated by adding 10 days to the end of the month of the invoice date.

Step-by-step explanation:

The question involves calculating the discount date for an invoice under specific payment terms. The terms 4/10 net 30 EOM on an invoice dated April 27th mean that a 4% discount can be taken if the invoice is paid within 10 days of the end of the month of the invoice date. To calculate the discount date, you would first identify the end of the month, which is April 30th. Then, you add 10 days to this date to determine the last day the discount can be applied, which is May 10th. Therefore, the discount date is May 10th.