James is a new accounting student. He is studying the topic of credit sales and purchases. While
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Question:
James is a new accounting student. He is studying the topic of credit sales and purchases. While studying the net credit period terms, his understanding is that the discount period offered to the buyer by the seller in any case has to be greater than the credit period in order for the buyer to avail the discount.
Do you think his understanding is correct? If yes, why? Give an example.
Related Book For
College Accounting A Contemporary Approach
ISBN: 978-0077639730
3rd edition
Authors: David Haddock, John Price, Michael Farina
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