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soldi70 [24.7K]
3 years ago
9

On march 12, klein company, inc. sold merchandise in the amount of $7,800 to babson company, with credit terms of 2/10, n/30. th

e cost of the items sold is $4,500. klein uses the perpetual inventory system. on march 15, babson returns some of the merchandise. the selling price of the merchandise is $600 and the cost of the merchandise returned is $350. babson pays the invoice on march 20, and takes the appropriate discount. the amount that klein receives from babson on march 20 is: $7,800. $7,644. $7,044. $7,056. $7,200.
Mathematics
1 answer:
Assoli18 [71]3 years ago
6 0
Given:
<span>march 12 - Klein company, inc. sold merchandise in the amount of $7,800 to Babson company, with credit terms of 2/10, n/30
</span><span>march 15 - Babson returns some of the merchandise. the selling price of the merchandise is $600
march 20 - Babson pays the invoice and takes the appropriate discount.

Since March 20 is still within the 10-day discount from date of purchase, Babson is entitled to 2% discount.

7,800 - 600 = 7,200 sales invoice
7,200 * 2% = 144 sales discount
7,200 - 144 = 7,056 net sales

Babson will pay the amount of $7,056</span>
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