The cash discount terms $"\frac{2}{10},$ net $30"$ mean that

Multiple Choice

the buyer will, in effect, be borrowing at a $36$ percent annual interest rate if it takes $30$ days to pay the invoice.

the invoice is dated February $10$ and must be paid by February $30.$

None of the answers are correct.

the buyer must make a $2$ percent down payment, with the balance due in $10$ to $30$ days.

$$ a $2$ percent discount off the face value of the invoice is permitted if the bill is paid within $30$ days.