Determine the amount to be paid in full settlement of each invoice, assuming that credit for returns and allowances was received prior topayment and that all invoices were paid within the discount period.a.b.Merchandise$10,700$13,300a. $b. $Freight Paidby SellerFreight Terms$376FOB Shipping Point, 1/10, net 30$58 FOB Destination, 2/10, net 45Returns andAllowances$1,100$2,900

Lets understand the basics.Under FOB destination, freight is the seller's expense and under the FOB…

Answered: a. b. Merchandise $10,700 $13,300 a. $…

a. b. Merchandise $10,700 $13,300 a. $ b. $ Freight Paid by Seller $376 $58 Freight Terms FOB Shipping Point, 1/10, net 30 FOB Destination, 2/10, net 45 Returns and Allowances $1,100 $2,900

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Determine the amount to be paid in full settlement of each invoice, assuming that credit for returns and allowances was received prior to
payment and that all invoices were paid within the discount period.
a.
b.
Merchandise
$10,700
$13,300
a. $
b. $
Freight Paid
by Seller
Freight Terms
$376
FOB Shipping Point, 1/10, net 30
$58 FOB Destination, 2/10, net 45
Returns and
Allowances
$1,100
$2,900

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