A credit sale of $4000 is made on April 25 terms 3/10 n/30 on which a return of $300 is granted on April 28. What amount is received as payment in full on May 4?

Question

Quizplus · Accepted Answer

The net amount due after return is $3700 (4000-300). 
If payment is made by May 4, the customer can take advantage of the 3% discount, which amounts to $111 (0.03*3700). 
Therefore, the payment in full received on May 4 would be $3589 (3700-111).

A Credit Sale of $4000 Is Made on April 25