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Definition: End of month, often abbreviated EOM, is an attribute used in many business credit terms to describe the due date and time payment is required. Many suppliers and vendors give manufacturers and retailers a cash discount for paying invoices early and in cash. Invoices are typically marked with a discount period, the net amount due, and some additional information. If the invoice is paid within the first ten days after receiving it, the seller will discount the order by 2 percent. This ten day window is often called the discount period. A 2 percent discount is quite advantageous for most businesses.

If the invoice is paid within the first ten days after receiving it, the seller will discount the order by 2 percent. This ten day window is often called the discount period. A 2 percent discount is quite advantageous for most businesses. Companies almost always try to pay these bills early to receive the cash discount unless they are under tight cash flow restrictions.

If the invoice is not paid within the first ten days to receive the discount, the balance of the invoice is due 30 days from receipt.

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This allows the company a few weeks to pay for the goods. Your EOM due date then is August 31 of this year, the end of the month in which you received the invoice.

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That's not so bad. It would be bad if the invoice came just a few days before the end of the month.

Free date calculator computes the difference between two dates. It can also add to or subtract from a date. Both calculators can deal with business days and holidays. Learn more about the most common calendar system used today, or explore hundreds of other calculators addressing finance, math, fitness, health, and more. This is the Ultimate Relationship Calculator. It will not only calculate the chances for you and another person to make it in the future, but also calculate how long you have been dating, when (or if) you will break up, and if so, why you will break up. N/10 EOM is a type of payment term you will see on an invoice. The n stands for net and the first 10 is a number of days. N/10 means the payment on the invoice is due in 10 days. EOM stands for end of the month. So when you put together N/10 EOM, it means you have to .

It would be great if the invoice came at the beginning of the month. This means that payment is due within 30 days.

So, if the invoice is dated September 1 of this year, then EOM gives September 30 of this year. 2/10 has a due date of September 11 of this year, ten days after September 1. Time & Date Calculator App for iOS. See how long remains before a deadline or exactly when those 30 days are up. Calendar with Logo Add your company logo to our printable calendars. Try the Calculator API. Use our Calculator data in your apps. 3 months FREE trial, no credit card needed. Definition: End of month, often abbreviated EOM, is an attribute used in many business credit terms to describe the due date and time payment is required. Many suppliers and vendors give manufacturers and retailers a cash discount for paying invoices early and in cash. Example. Invoices are typically marked with a discount period, the net amount due, and some additional information.

So, you have a whole month from the invoice date to pay the invoice. You want the two percent discount, so you mark August 22 on your calendar so that you can make sure to pay the invoice before then.

Let's review what we've learned now. We learned quite a few terms. These terms are all related to companies sending out an invoicea bill. We have the due datewhich means the date your payment needs to be paid by. We also have EOMwhich stands for end of month. When you see EOM on your invoice, your due date is the last day of the month in which the invoice was sent.

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This means that you get a two percent discount if you pay within ten days of the invoice date. Everything is calculated starting from the date of the invoice. Net 30 gives a due date of October 1 of this year, 30 days after September 1. To unlock this lesson you must be a Study.

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Business Intro to Business. Effective Communication in the Workplace: Help and Review. Business Law: Tutoring Solution. Lesson Transcript. Instructor: Yuanxin Amy Yang Alcocer Amy has a master's degree in secondary education and has taught math at a public charter high school.

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After watching this video lesson, you will understand some of the key terms that companies use on the invoices that they send to you.

Learn how to pay your invoices according to these terms so you aren't late. The Due Date So, you made a purchase from this Internet company. Let's take a look at what these numbers and letters mean. Try it risk-free No obligation, cancel anytime. Want to learn more?

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Lesson Summary Let's review what we've learned now. Learning Outcome You should be able to describe the common terms found on an invoice after reviewing this lesson. Unlock Your Education See for yourself why 30 million people use Study.

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