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Mel's Furniture Received an Invoice Dated September 27 for Five

Question 93

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Mel's furniture received an invoice dated September 27 for five bedroom sets at $3,000 each. The invoice indicated a trade discount of 5/8/3. The seller of the furniture prepaid the freight of $200. Terms were 2/10 EOM. Assuming Mel pays on November 2, what amount would be paid? (Be sure to include the freight cost.)

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The trade discount rate is equal to .95 ...

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