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So, you made a purchase from this Internet company.
You bought several pairs of shoes and this really nice jacket to go with the shoes.
2/10 has a due date of September 11 of this year, ten days after September 1.
Net 30 gives a due date of October 1 of this year, 30 days after September 1.
Try It risk-free After watching this video lesson, you will understand some of the key terms that companies use on the invoices that they send to you.
Learn how to pay your invoices according to these terms so you aren't late.
For example, if your invoice stated n/30 instead of EOM, your due date would be September 11 of this year, 30 days after August 12.
But since your invoice doesn't state n/30 but states EOM, your due date is earlier. These terms are all related to companies sending out an invoice, a bill.
They would send you an invoice, a bill, later on with how much you owe and the terms of payment.In the business world, you might see 2/10 or some other numbers in the same format that tells you what kind of discount you would get if you pay early. You received this invoice in the middle of the month, so that means you only have about two weeks to pay this.For example, 2/15 says that you will get a two percent discount if you pay within 15 days. Your EOM due date then is August 31 of this year, the end of the month in which you received the invoice. It would be bad if the invoice came just a few days before the end of the month.One of the most important is the due date, when your payment needs to be paid by.You look at your invoice and see that the due date on this invoice is located at the top right of the invoice. The ones you've seen, though, usually have a date such as November 8 or some other date plus the current year or the next, if we're in December. It has some strange numbers that don't correspond to dates and some letters that you've never seen.
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If paid early, the company gives a two percent discount! The customer gets a discount and the company gets paid.