Nadir Company sold $2,000 of merchandise to Acme Company,with terms of 3/10,n/30.Five days later,Acme returned $500 of the merchandise.If Acme pays within the discount period,how much cash will Nadir receive?

Question

Quizplus · Accepted Answer

The net amount of the merchandise that Acme will pay for is $2,000 - $500 = $1,500. 
Since they are paying within the discount period, they will receive a 3% discount on the net amount. 
3% of $1,500 = $45 
So the total amount of cash Nadir will receive is $1,500 - $45 = $1,455. Therefore, the best answer choice is D.

Nadir Company Sold $2,000 of Merchandise to Acme Company,with Terms