Sales discounts: The term 2 / 10 , n / 30 means that if a customer is paying in 10 days then the payment will be after a discount of 2 % on the total value but if the customer is paying in 30 days then the payment will be made in full which means no discount. To calculate: The journal entry for receiving payment after 10 days.

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Chapter 5, Problem 42BE

To determine

Sales discounts:

The term 2/10,n/30 means that if a customer is paying in 10 days then the payment will be after a discount of 2% on the total value but if the customer is paying in 30 days then the payment will be made in full which means no discount.

To calculate:

The journal entry for receiving payment after 10 days.

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