The customer will to pay $2,970 in 12 days.
What does 3/10 mean?
3/10 is cash discount term which means that a discount of 3% would be given to the customer if payment for the goods purchased is made within 10 days of purchase.
In this case, 3% is not applicable since the payment was made after 12 days.
What does 1/20 mean?
1/20 is cash discount term which means that a discount of 1% would be given to the customer if payment for the goods purchased is made within 20 days of purchase, the payment is within this range, hence, a 1% discount would be applied to invoice price so as to determine the cash payable
cash payable=$3,000*(1-1%)
cash payable=$3,000*0.99
cash payable=$2,970
What does n/30 mean?
It means a payment is expected latest after 30 days which does not entitle the customer no discount.
Find out more on cash discount on:https://brainly.com/question/17092140.
#SPJ1
