An invoice date 10april 2004 for Rm2,300 of 3/10,2/20 20 april 2004. Find the payment if the invoice was paid on 8 may 2004
To calculate the payment for the invoice, we need to understand the terms "3/10,2/20". These terms usually refer to a discount offered by the seller for early payment.
In this case, "3/10" means that if the buyer pays within 10 days, they can take a 3% discount on the invoice total. "2/20" means that if the buyer does not take the 3% discount, they can still receive a 2% discount if they pay within 20 days.
Given that the invoice date is 10 April 2004 and the payment was made on 8 May 2004, we need to determine if the payment was made within the discount period.
To do this, we calculate the number of days between the invoice date and the payment date:
10 April 2004 - 8 May 2004 = 28 days
Since the payment was made after the 20-day discount period, the buyer cannot avail the 2% discount.
Therefore, the payment for the invoice will be the full invoice amount of RM2,300 without any discount applied.