The Cash Discount Terms for a $500 Purchase Are 4/10

Multiple Choice

the cash discount terms for a $500 purchase are 4/10 net 30,the number $500 refers to

A) the original price owed on the merchandise.
B) the total amount owed if paid within 10 days.
C) the total discount in dollars if the bill is paid on time in 30 days.
D) the manufacturer's suggested wholesale price.
E) the total penalty in dollars if the bill is paid after 10 days.