**Exercise: Calculating Trade Discounts**To understand how trade discounts work, let's complete the following table using the provided details. **Instructions:**Do not round intermediate calculations. Round your final answers to the nearest cent.**Table:**| Item | List Price | Chain Discount | Net Price | Trade Discount ||----------------------|------------|----------------|-----------|----------------|| Sony digital camera | $334 | 7/6/8 | | |**Explanation:**1. **List Price**: This is the initial price of the item, which is $334 for the Sony digital camera.2. **Chain Discount**: These are successive discounts applied to the list price. The chain discount for the camera is 7%, 6%, and 8%.3. **Net Price**: Calculate this by applying the chain discounts sequentially to the list price. - First apply the 7% discount. - Apply the 6% discount to the new amount. - Finally, apply the 8% discount.4. **Trade Discount**: This is the total discount amount in dollars, which is the difference between the list price and the net price.Complete these steps to fill in the "Net Price" and "Trade Discount" columns.

The chain discount is a series of trade discounts that are given by wholesalers to retailers. They…

Answered: Complete the following table: (Do not…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A wholesaler gives trade discounts 30%, 11% and 3% to his regular customers.a) Find the single discount equivalent to the given trade discounts.b) If the list price of an item is RM320, find the net price.
2) Kitchen cabinet knobs in the Designer Hardware catalog list for $3.00. The net price to the retailer is $2.40. What is the trade-discount rate? (Lesson 1)
List price is $450.70. The trade discount rate is 31/15/5. What is the single equivalent discount? What is the trade discount? What is the net price? Round the net price factor and single equivalent discount five decimal places, and the trade discount and net price to the nearest cent when necc
You buy goods at a list price of $1,100. If you receive a trade discount of 30% and terms are “2/15, n/45,” what amount must you pay if you pay within the discount period?
Remember order of discounts (TD à QD à CD) The vendor shipped and invoiced the following goods on June 7: 200 folding chairs at $50 list price. Trade discounts were 40% and 5%; and a 2% quantity discount for an order of 200 or more folding chairs was provided by the vendor. Invoice dating and cash discount terms were determined at 5/20, EOM. What is the trade discount$ for the entire merchandise? What is the quantity discount$ for the entire merchandise? What amount must be remitted to the vendor if the invoice is paid on July 15?
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PLEASE SHOW ALL WORK 14. Series discounts are a form of trade discount. (T or F) For Problems 15-19 assume that you purchase goods with a list price of $455 and a trade discount of 25%. The invoice is dated October 3 with terms of 3/15, n/45. 15. What is the net price after trade discount? 16 What is the last day you can take a cash discount? 17. What is the net amount due if you pay within the discount period? 18. If you do not pay within the discount period, what is the final date to pay the invoice? October 3 is day number 276; 19. If you do not pay within the discount period, what annual interest rate are you, in effect, paying the supplier? Express the rate with two decimal places
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Complete the following table: (Do not round intermediate calculations. Round your final answers to the nearest cent.) Item Sony digital camera List price $ 334 Chain discount 7/6/8 Net price Trade discount