The term 4 net 7 on an invoice means that
-
A.
4% surcharge will be made unless payment is made within seven days -
B.
4% discount will be allowed on the price charged only if the good are bought within seven days -
C.
4% discount will be allowed on the price charge if payment is made after seven days -
D.
4% discount will be allowed on the price charged if payment is made price charged if payment is made price charged if payment is made within seven days.
Correct Answer: Option D
Explanation
The discount is allowed to encourage seller prompt payment for the goods bought by the buyer.