3/10 net 45 EOM translates as
A. a 10 percent cash discount may be taken if paid in three days; if no cash discount is taken, the balance is due in 45 days.
B. a 3 percent cash discount may be taken if paid in 10 days; if no cash discount is taken, the balance is due 45 days after transaction is complete.
C. a 3 percent cash discount may be taken if paid in 10 days; if no cash discount is taken, the balance is due 45 days after the end of the month.
D. a 3 percent discount may be taken on 10 percent of the purchase if the account is paid within 45 days after the end of the month.
Answer:C
3/10 net 45 EOM translates as
A. a 10 percent cash discount may be taken if paid in three days; if no cash discount is taken, the balance is due in 45 days. B. a 3 percent cash discount may be taken if paid in 10 days; if no cash discount is taken, the balance is due 45 days after transaction is complete. C. a 3 percent cash discount may be taken if paid in 10 days; if no cash discount is taken, the balance is due 45 days after the end of the month. D. a 3 percent discount may be taken on 10 percent of the purchase if the account is paid within 45 days after the end of the month.