Beacon Food Stores purchased canned goods at an invoice price of $4,000 and terms of 2/10,n/30.Half of the goods had been mislabeled and were returned immediately to the supplier.If Beacon Food pays the remaining amount of the invoice within the discount period,the amount paid should be:

Question

Quizplus · Accepted Answer

The cost of the goods after the return is $2,000 ($4,000/2). The discount available for paying within the discount period is 2% of this amount, or $40 ($2,000 x 0.02). Therefore, the amount paid should be $1,960 ($2,000 - $40).

Beacon Food Stores Purchased Canned Goods at an Invoice Price