A Company received an invoice for $1618 dated May 11, terms 2/15 EOM.

• What is the last date of the discount period and last date of credit period?

Ans:

• If invoice is paid on June 12, how much would the company pay? (Round your answers to the nearest hundredth)

The last date for the discount is the 15th day from may 11 = 26th may The last date of credit period is 15th day after the End of month = June 15th If invoice is paid June 12 the company would pay $1618

Step-by-step explanation:

the terms 2/15 EOM

means that a company after receiving an invoice from its supplier or business partner would enjoy a 2% discount off the amount stated on invoice been issued if the company pays within 15 days of receiving the invoice. it also states that the credit period granted by the issuing company will elapse 15 days after the end of the month in which the company receives the invoice