Garber Plumbers offers a 20% trade discount when providing $2,000 or more of plumbing services to its customers.In March 2018,Garber provided $4,000 of plumbing services to Red Oak Inc. ,and $1,500 of services to Cyril Inc. ,Each of these customers was granted credit terms of 2/10,net 30.If both customers paid for the plumbing services within the discount period,what was the net revenues amount for these two transactions?

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For Red Oak Inc., the services provided were $4,000, which qualifies for the 20% trade discount. The discounted amount is $4,000 * 20% = $800, so the amount after the discount is $4,000 - $800 = $3,200. Since they paid within the discount period, they get an additional 2% discount: $3,200 * 2% = $64, so the final amount paid by Red Oak Inc. is $3,200 - $64 = $3,136.For Cyril Inc., the services provided were $1,500, which does not qualify for the 20% trade discount, so the full amount remains. They also paid within the discount period, so they get a 2% discount: $1,500 * 2% = $30, making the final amount paid by Cyril Inc. $1,500 - $30 = $1,470.The net revenues amount for these two transactions is $3,136 (Red Oak Inc.) + $1,470 (Cyril Inc.) = $4,606.

Garber Plumbers Offers a 20% Trade Discount When Providing $2,000