The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method. Given information: S purchases 80 parkas at $75 each on October 16 th . Discount term are 2/10, n/30. S paid 60 parkas on October 25 th and availed the benefit of purchases discount. Balance 20 parkas, payment is made on November 15.

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Answer 1

Question

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

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Answer 2

Question

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Expert Solution & Answer

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Answer 4

Question

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Expert Solution & Answer

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Answer 5

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Answer 6

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Answer 7

Chapter 10, Problem 10.5BE

To determine

The cash payment and reduction of inventory on October 25 as well as the account payable after 25 October payment as per net payment method.

Given information:

S purchases 80 parkas at $75 each on October 16^th.

Discount term are 2/10, n/30.

S paid 60 parkas on October 25^th and availed the benefit of purchases discount.

Balance 20 parkas, payment is made on November 15.

Answer 8

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Answer 9

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Answer 10

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Answer 11

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Solution Summary: The author explains the purchase discount, which is the discount offered by the seller to the buyer if the due amount is paid within specified period.

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Chapter 10 Solutions