To determine the amount of the payment, we need to understand how the terms of the invoice apply to the partial payment.

Given Information:

• Invoice amount: $10,098
• Date of the invoice: June 28
• Terms: 3/20, 2/30, n/45
  • 3/20: A 3% discount if paid within 20 days.
  • 2/30: A 2% discount if paid within 30 days.
  • n/45: No discount after 45 days, payment due in full.
• Payment date: July 7
• Balance after payment: $5,281

Step-by-Step Breakdown:

1. Number of days between June 28 and July 7:

   • From June 28 to July 7 is 9 days. Since the payment was made within 20 days, the buyer is eligible for the 3% discount.

2. Discount Calculation:

   • The discount is 3% on the part of the invoice that was paid.
   • Let the amount of the payment (before discount) be $x$.
   • The discount is $0.03x$, so the amount paid is $x - 0.03x = 0.97x$.

3. New balance after payment:

   • The balance was reduced to $5,281, meaning the amount left unpaid is $5,281.
   • Therefore, the amount paid with the discount is $10,098 - 5,281 = 4,817$.

4. Solve for the original amount before the discount: $0.97x = 4,817$ $x = \frac{4,817}{0.97} = 4,965.98$

Thus, the original amount of the payment before applying the discount was $4,965.98.

Summary:

• Amount of payment (before discount): $4,965.98
• Discount applied (3% of $4,965.98): $148.98
• Amount paid after discount (total payment made): $4,817

Would you like to see further details or have any questions?

Here are 5 related questions you might find useful:

1. How is a discount percentage applied to an invoice?
2. What are common payment terms used in invoicing?
3. How do partial payments affect the calculation of discounts?
4. What happens if a payment is made after the discount period?
5. How can businesses use early payment discounts to manage cash flow?

Tip: Always verify the payment terms carefully to ensure that the correct discounts are applied within the allowed time!