A credit sale of $3,800 is made on April 25, terms 2/10, net/30, on which a return of $200 is granted on April 28. What amount is received as payment in full on May 4?
A)$3,528
B)$3,724
C)$3,800 d $3,600

Question

Quizplus · Accepted Answer

The amount due on the invoice is $3,800. The terms of 2/10, net/30 mean that the customer can take a 2% discount if they pay within 10 days, otherwise the full amount is due in 30 days. 
If the customer takes the discount, they will pay $3,724 ($3,800 - 2%*$3,800). 
However, there was a return of $200, so the new amount due is $3,600 ($3,800 - $200). 
Since the customer did not take the discount and paid within 30 days, they need to pay the full amount of $3,600. Therefore, the amount received as payment in full on May 4 is $3,528 ($3,600 - 2%*$3,600).

A Credit Sale of $3,800 Is Made on April 25