Answer:
$ 15606.5
Explanation:
Catalog Price = $ 24500
Trade Discount = 35 %
Credit Term 2/10, n/30
Purchase Price = $ 24500- $ 24500 * 35 %= $ 24500-8575= 15925
As Payment is made with in the discount period( 2/10 n/30 meaning 2 % of discount will be given in the first ten days) an additional discount of
15925 * 2 % = 318.5 will be given
Net Cost would be $ 15925- $ 318.5= $ 15606.5
If the payment had been made after the first ten days the 2% discount would have not been allowed
Answer:
The net cost of the merchandise is $15,697.5
Explanation:
The 2/10, n / 30 means that if payment is made within 30 days there will a discount and there will also be an additional discount if payment made within 10 days in this case the 30 day discount is 35% and 2 % additional discount if paid within 10 days
Ten days
24500*0.02 = 490
24500-490 = 24 010
30 days
24101*0.35 = 8403.5
24101 - 8403.5 = $15697.5
