On July 1,a retailer purchases merchandise on account from a supplier for $2,000 terms 2/10,n/30.On July 5,the retailer returns merchandise purchased for $500 for a reduction in the amount owing.On July 8,the retailer pays their account.What is the amount of cash paid by the retailer?
A)$1,500
B)$1,960
C)$1,470
D)$1,970

Question

Quizplus · Accepted Answer

$2,000 - 500 = $1500 owing
$1500 × 2% discount = $30
1500-30 = $1,470 amount paid.

On July 1,a Retailer Purchases Merchandise on Account from a Supplier