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Eom dating terms

See Also: 2/10 Net 30 Example Credit Sales Letter of Credit Line of Credit (Bank Line) Net 30 Credit Terms 5 C’s of Credit (5 C’s of Banking) 2/10 net 30, defined as the trade credit in which clients can opt to either receive a 2 percent discount for payment to a vendor within 10 days or pay the full amount (net) of their accounts payable in 30 days, is extremely common in business to business sales.Anywhere a vendor offers credit terms it is likely that they also offer some discount to motivate early payment.The acronym FOB, which stands for "Free On Board" or "Freight On Board" is a shipping term used in retail to indicate who is responsible for paying transportation charges.It is the location where ownership of the merchandise transfers from seller to buyer.FOB terms of sale establishes which party (vendor or retailer) will be liable for the transportation costs, which party is in control of the movement of the goods, and when the title passes to the buyer.

The purpose of this is to shorten accounts receivable cycles for those who provide credit terms.30 Days EOM is a payment for goods that is due 30days from the END OF the MONTH (EOM) that the goods were invoiced in.Let's say you have a 30 day EOM account with Goodyear tyres.The seller pays the freight, and the buyer takes the title once it's been shipped.The buyer pays the transportation costs from store to store.

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For domestic shipments, there are three key documents to be aware of: the bill of lading, the freight bill, and the Free On Board (FOB) terms of sale.

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