glass blowing studio makes fine pieces of art glass.It has decided on a retail list price of $2,000 for one of its vases.They sell only to wholesalers and retailers who receive 50/10 terms.How much will the studio receive from selling this vase?

Question

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The terms 50/10 means that the buyer can receive a 50% discount if they pay within 10 days of the purchase. Therefore, the wholesale price of the vase is 50% off the retail price of $2,000, which is $1,000.

The studio will receive the wholesale price of $1,000 from the buyer if they pay within 10 days. However, if the buyer does not pay within 10 days, they lose the discount and must pay the full retail price. In this case, the studio would receive $2,000 from the buyer.

Therefore, the studio will receive $1,000 if the buyer pays within 10 days, or $2,000 if the buyer does not pay within 10 days. The question does not specify the payment terms or timeline, so we can assume that the studio will receive the wholesale price of $1,000. Subtracting the wholesale price from the retail price, the studio will make a profit of $900 by selling the vase.

Glass Blowing Studio Makes Fine Pieces of Art Glass