The term ‘5 Net 7’ on an invoice means that?

Assessment: JAMB UTME - Commerce - 1999 Subject: Commerce

Question 1 Report

The term ‘5 Net 7’ on an invoice means that?
Answer Details
The term '5 Net 7' on an invoice means that a 5% discount will be allowed on the price charged if payment is made within seven days. This is a common payment term used in business transactions. The number before the word 'Net' refers to the percentage of discount while the number after the word 'Net' indicates the number of days within which payment should be made to qualify for the discount. So, in this case, the buyer will receive a 5% discount if payment is made within 7 days from the invoice date.
Read lesson note on Purchase And Sale Of Goods (JAMB)
View Answer

Related Questions

1

The overriding advantage of home trade over foreign trade is
2

The organizational structure above represents
3

A distinction between Comprehensive insurance and Thrid party Insurance is that the latter covers damages
4

Which of the following document permit an importer to inspect his goods before the arrival of the bill of lading?
5

Kabir receives two quotations. Ade quotes N 100 less 20% trade discount and 20% cash discount while Benson N100 less 30%trade discount and 10% cash discount....
6

The elimination of fault in a computer programme is called?
7

The rate at which a central bank discount first class bills is called the
8

The document that indicate instant payment of cash for goods whenever the are delivered is

Download The App On Google Playstore

Everything you need to excel in your exams

Green Bridge CBT Mobile App
Personalized AI Learning Chat Assistant
200,000+ Exam Questions Across IGCSE, JAMB, WAEC & NECO
Over 3,900 Lesson Notes
Offline Support - Learn Anytime, Anywhere
Green Bridge Timetable
Literature Summaries & Potential Questions
Track Your Performance & Progress
In-depth Explanations for Comprehensive Learning