Sales Discounts

Sales Discounts - credit terms , which specify when the...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Sales Discounts A sales discount  is an incentive the seller offers in exchange for prompt payment on credit sales.  Sales discounts are recorded in another centra-revenue account, enabling management to monitor  the effectiveness of the company's discount policy. Invoices generally include 
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: credit terms , which specify when the customer must pay and define the sales discount if one is available. For example, the credit terms on the invoice below are 2/10, n/30, which is read two-ten, net thirty....
View Full Document

Ask a homework question - tutors are online