Asked by Thomas DeAngelis on Jun 14, 2024
Verified
The time frame when customers are allowed to pay their bills and still be eligible for a discount is the:
A) credit period.
B) discount period.
C) short period.
D) allowance period.
Credit Period
The duration of time the buyer is given to pay for a purchase after the goods are delivered or the services are provided.
Discount Period
The time frame during which a buyer can pay less than the full invoice amount due to early payment incentives.
- Fathom the impact and implementation of credit terms in the context of sales dealings.
Verified Answer
CT
Carlos ThomasJun 17, 2024
Final Answer :
B
Explanation :
The discount period is the specific time frame during which customers can pay their bills and receive a discount for early payment. This is a common practice in business to encourage timely payments.
Learning Objectives
- Fathom the impact and implementation of credit terms in the context of sales dealings.
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