An invoice received included the following information: merchandise price, $3,800; terms 1/10, n/eom; FOB shipping point with prepaid freight of $592. Assuming that a credit for merchandise returned of $800 is granted prior to payment and that the invoice is paid within the discount period, what amount of cash should be paid by the buyer? a. $3,800 b. $3,562 c. $4,348 d. $800
An invoice received included the following information: merchandise price, $3,800; terms 1/10, n/eom; FOB shipping point with prepaid freight of $592. Assuming that a credit for merchandise returned of $800 is granted prior to payment and that the invoice is paid within the discount period, what amount of cash should be paid by the buyer? a. $3,800 b. $3,562 c. $4,348 d. $800
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter22: Providing And Obtaining Credit
Section: Chapter Questions
Problem 2Q
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An invoice received included the following information: merchandise price, $3,800; terms 1/10, n/eom; FOB shipping point with prepaid freight of $592. Assuming that a credit for merchandise returned of $800 is granted prior to payment and that the invoice is paid within the discount period, what amount of cash should be paid by the buyer?
a. $3,800
b. $3,562
c. $4,348
d. $800
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