One of the most common designations for the beginning of the credit period is ________.
A) 2/10
B) the date of invoice
C) the end of a quarter
D) the transaction date

Question

Quizplus · Accepted Answer

The beginning of the credit period is usually marked by the date of invoice, as this is when the buyer receives the goods/services and the seller initiates the credit period. Option A (2/10) refers to a common discount term offered by sellers to buyers if they pay within 10 days of the invoice date, and does not indicate the beginning of the credit period. Option C (the end of a quarter) is a general time frame and does not necessarily relate to the specific beginning of the credit period. Option D (the transaction date) may refer to the date of the order, but not necessarily the date when the credit period begins.

One of the Most Common Designations for the Beginning of the Credit