Healthfood store ordered 25 cases of food supplements from Nature's Wonder with a ist price of $120.80 each at trade discount rate of 20%, 10%. They received an invoice dated May 4, with payment terms 2/10, 1/20, n/30. (a) If Healthfood pay the full amount on May 16, how much should they pay? Express your answer in 2 decimal places. (b) Healthfood received another invoice from Nature's Wonder (with the same payment terms i.e. 2/10, 1/20, n/30), dated June 5 in the amount of $3,780. If they make a partial payment of $2,000 on June 13, how much would they have to pay on June 21 to settle the invoice? Assume the supplier accepts cash discounts on partial payments. Express your answer in 2 decimal places.

Healthfood store ordered 25 cases of food supplements from Nature's Wonder with a ist price of $120.80 each at trade discount rate of 20%, 10%. They received an invoice dated May 4, with payment terms 2/10, 1/20, n/30. (a) If Healthfood pay the full amount on May 16, how much should they pay? Express your answer in 2 decimal places. (b) Healthfood received another invoice from Nature's Wonder (with the same payment terms i.e. 2/10, 1/20, n/30), dated June 5 in the amount of $3,780. If they make a partial payment of $2,000 on June 13, how much would they have to pay on June 21 to settle the invoice? Assume the supplier accepts cash discounts on partial payments. Express your answer in 2 decimal places.

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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