Bài giảng Brief history credit and its definition

Calculating the True Costs of Credit There are two common and distinct types of credit: Credit for merchandise sold, and Cash or Bank Loans. The most common term for merchandise credit is 2/10 N 30. Credit Period – the number of days until full payment is required. Cash Discount – A percentage deducted from the purchase price if the buyer pays within the specified time shorter than the credit period. Cash Discount Period – The number of days after the beginning of the credit period during which the cash discount is available.

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