An Invoice for $3,500 Dated September 15 with Terms 2/10

Multiple Choice

An invoice for $3,500 dated September 15 with terms 2/10, 1½/20, n/30, EOM is received in the mail on September 20. If the company wants to reduce the outstanding balance to $2,000, how much should they pay on October 10?

A) $1,470.00
B) $1,477.50
C) $1,530.00
D) $1,522.50
E) $1,500.00