The terms 3/15 and n/30 refer to the payment terms often used in business transactions, particularly in invoicing.
The ‘3’ in 3/15 means that if the buyer pays the invoice within 15 days, they can take a discount of 3% off the total invoice amount. On the other hand, ‘n’ stands for ‘net’, which indicates that the net amount is due in full within 30 days, with no discount applicable.
So, in summary, 3/15 or n/30 implies that the buyer has the option to either pay the full amount within 30 days or take advantage of a 3% discount if they pay within 15 days. This kind of arrangement is beneficial as it encourages early payment, helping sellers maintain cash flow while providing buyers an incentive to settle their accounts sooner.