Travelli Co.sold merchandise to Trapani Co.on account, $17,000, terms 2/15, net 45.The cost of the merchandise sold is $15,400.Tavella Co.issued a credit memo for $1,750 for merchandise returned that originally cost $1,400.The Trapani Co.paid the invoice within the discount period.What is amount of net sales from the above transactions?

Question

Quizplus · Accepted Answer

The original sale was for $17,000. After the return of $1,750, the adjusted sales amount is $17,000 - $1,750 = $15,250. With a 2% discount for early payment, the discount amount is $15,250 * 0.02 = $305. Therefore, the net sales amount is $15,250 - $305 = $14,945.