A retailer purchases merchandise with a catalog list price of P15,000. The retailer receives a 15% trade discount and credit terms of 2/10, n/30. How much cash will be needed to pay this invoice within the discount period?     12,495 12,750 15,000 14,700

Q: Merchandise subject to terms 2/10, n/30, FOB shipping point, is sold on account to a customer for…

A: Given: Payments terms of 2/10, n/30, means that discount of 2% is valid for 10 days from the date of…

Q: A company purchases merchandise with a catalog price of $24,500. The company receives a 35% trade…

A: Trade discount: When a producer selling the product to a reseller instead of the end consumer, it…

Q: Norfolk Sporting Goods purchases merchandise with a catalog list price of $15,881. The retailer…

A: The amount should be debited to inventory account = ( List price  - Trade discount ) - term discount…

Q: You buy goods at a list price of $1,500.  If you receive a trade discount of 20% and terms are…

A: Discount period is defined as the days provided by the seller to the buyer of goods to avail the…

Q: what amount must you pay if you pay within the discount period?

A: Credit term refers to a method used by the firms to encourage buyer or debtor to pay the amount of…