Effective 04/24/90
| Terms: | $10,000, 2/10 net 30 days |
| Facts: | A discount of $200 was taken on the 12th day, 2 days over the discount period. Improper discount taken was paid to the contractor on the 30th day after the discount period expired. |
| Days Interest Penalty: | 30 |
| Interest Computation: | $200 x 7% x 30/360 = $l.l7 Interest Penalty |
NOTE: The 7% interest rate used above is for illustrative purposes only. The current "Renegotiation Board Interest Rate" should be used in actual cases.