Merchandise received on July 20 is charged to the store on an invoice dated July 8 for $1,254 with terms of 6/10-60X.  What is the last day for taking the cash discount?

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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1. Merchandise received on July 20 is charged to the store on an invoice dated July 8 for $1,254 with terms of 6/10-60X.  What is the last day for taking the cash discount? 

2. Merchandise received on July 20 is charged to the store on an invoice dated July 8 for $1,254 with terms of 6/10-60X.  If the invoice is paid on September 17, how much should be remitted?  (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

3. A retailer in Atlanta ordered a shipment of shoes totaling $15,800 from a vendor in California.  The shipping cost was $220.  The shoes were shipped FOB Atlanta; charges reversed.  The shoe vendor gave the retailer a 1% damage allowance.  How much did the retailer pay the vendor for the shoes?   (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).

4. On April 2, merchandise costing $15,400 reaches the retailer located in New Orleans.  The invoice is dated March 22 and has terms of 8/10 EOM.  The invoice is paid on April 10.  How much should be remitted?   (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

5. On April 2, merchandise costing $15,400 reaches the retailer located in New Orleans.  The invoice is dated March 22 and has terms of 8/10 EOM.  The invoice is paid on April 10. If the merchandise is shipped FOB New Orleans, charges reversed, with transportation charges of $300, how much should be remitted?

6. A wholesaler ordered 14 bolts of drapery fabric at $5.50 per yard.  Each bolt had 60 yards.  The order qualified for a quantity discount of 2%.  The merchandise was shipped FOB factory; freight charges of $21.80 were prepaid.  The invoice was dated March 18 with terms of 2/15, n/30.  how much should be remitted if the invoice is paid on March 29?

 

(Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

7. A sportswear buyer placed the following order for coordinates:

Quantity Item Cost ($)
4 1/2 dozen Blouses    19.00 each
3 1/2 dozen Skirts 21.00 each
2 1/4 dozen Pants 23.00 each
3 1/6 dozen     Jackets 36.00 each

 

The merchandise is shipped September 15 and received September 22.  Invoice terms are 8/10 EOM, FOB factory; transportation charges of $24.79 have been prepaid.  How much should be remitted if the invoice is paid on October 8?

 

(Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

8. The toy buyer had the option of ordering stuffed animals directly from the manufacturer or from a nearby wholesaler.  The manufacturer will not ship orders for less than $1,200 total list price.  Delivery typically requires five weeks, and freight averages 2.5% of total billed cost.  Trade discounts on the merchandise are 40% and 10%; terms are 2/10, n/30.

A wholesaler located in the retailer's area stocks many of the same stuffed animals.  he does not require a minimum order and will deliver at no charge in the area if the order has a total billed cost of at least $500.  The manufacturer and wholesaler base cost on the same list price; however the wholesaler sells with trade discounts of 40% and 8% and terms of 1/15, n/30.

What is the difference in the total net cost (including freight) of merchandise with a total list price of $1,200 from these two vendors?

(Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

 

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