Question 1

Calculate the End of Discount Period and End of Credit Period.
   Aug. 19 (Aug. 9 + 10 days)

Accepted Answer

The answer of Calculate the End of Discount Period and...

Question 2

Cash discounts are:

Accepted Answer

A)  Always calculated on list price 
B)  Sometimes calculated with freight 
C)  Sometimes calculated with returned goods 
D)  Never calculated on freight and returns 
E)  None of these 
A)  Always calculated on list price 
B)  Sometimes calculated with freight 
C)  Sometimes calculated with returned goods 
D)  Never calculated on freight and returns 
E)  None of these

Question 3

Marvin Gate bought some fencing from a wholesaler for $6,000. The wholesaler offered a trade discount of 35%. What was the original price? (Round to the nearest cent.)

Accepted Answer

The answer of Marvin Gate bought some fencing from a...

Question 4

Joanne's Dress Shop received an invoice dated July 25 for $1,400, with terms of 2/10, 1/15, n/60. On August 8, Joanne's Dress Shop sent a partial payment of $750. The actual amount that should be credited is:

Accepted Answer

A)  $765.31 
B)  $765.30 
C)  $757.58 
D)  $757.59 
E)  None of these 
A)  $765.31 
B)  $765.30 
C)  $757.58 
D)  $757.59 
E)  None of these

Question 5

The single equivalent discount rate of 9/5/4 is .17008.

Accepted Answer

A) True 
 B)False

Question 6

The complement of 25% is 52%.

Accepted Answer

A) True 
 B)False

Question 7

2/10, n/30 is an example of:

Accepted Answer

A)  Ordinary dating 
B)  Receipt of goods 
C)  End of month 
D)  Extra dating 
E)  None of these 
A)  Ordinary dating 
B)  Receipt of goods 
C)  End of month 
D)  Extra dating 
E)  None of these

Question 8

Calculate the list price based on the information given below.

Accepted Answer

The answer of Calculate the list price based on the...

Question 9

Sometimes the seller will prepay the freight if it is FOB destination.

Accepted Answer

A) True 
 B)False

Question 10

Roland Corporation buys stoves from a wholesaler. The list price of a stove is $900, with a trade discount of 30%. The net price is:

Accepted Answer

A)  $270 
B)  $1,170 
C)  $630 
D)  $360 
E)  None of these 
A)  $270 
B)  $1,170 
C)  $630 
D)  $360 
E)  None of these

Question 11

The complement of 10% is 90%, or in decimal .90.

Accepted Answer

A) True 
 B)False

Question 12

Calculate the net price and amount of trade discount (use net price equivalent rate as well as single equivalent discount rate):

Accepted Answer

The answer of Calculate the net price and amount of...

Question 13

Feb. 15 is 71 days from Nov. 29.

Accepted Answer

A) True 
 B)False

Question 14

A bedroom set lists for $12,000 and carries a trade discount of 30%. Freight (FOB shipping point) of $150 is not part of list price. Calculate the delivered price of the bedroom set including the freight. Assume a cash discount of 2%.

Accepted Answer

A)  $8,232 
B)  $8,382 
C)  $8,385 
D)  $8,832 
E)  None of these 
A)  $8,232 
B)  $8,382 
C)  $8,385 
D)  $8,832 
E)  None of these

Question 15

Bloomberg's is offered the following chain discount(s); what is the lowest net price equivalent rate it will pay?

Accepted Answer

The answer of Bloomberg's is offered the following chain discount(s);...

Question 16

The complement of 35% is:

Accepted Answer

A)  53% 
B)  65% 
C)  56% 
D)  165% 
E)  None of these 
A)  53% 
B)  65% 
C)  56% 
D)  165% 
E)  None of these

Question 17

2/10, n/30, ROG means the cash discount period ends:

Accepted Answer

A)  Within 10 days of beginning date of invoice 
B)  Within 30 days of beginning date of invoice 
C)  20 days after beginning date of invoice 
D)  10 days after the goods are received 
E)  None of these 
A)  Within 10 days of beginning date of invoice 
B)  Within 30 days of beginning date of invoice 
C)  20 days after beginning date of invoice 
D)  10 days after the goods are received 
E)  None of these

Question 18

Which of the following is usually not true about customer catalogs?

Accepted Answer

A)  Contain list price 
B)  Completely updated once a year with a new revised catalog 
C)  Updated by discount sheets 
D)  Trade discount amounts will differ from product to product 
E)  None of these 
A)  Contain list price 
B)  Completely updated once a year with a new revised catalog 
C)  Updated by discount sheets 
D)  Trade discount amounts will differ from product to product 
E)  None of these

Question 19

A discount period is always greater than the credit period.

Accepted Answer

A) True 
 B)False

Question 20

Amounts of trade discounts are not fixed.

Accepted Answer

A) True 
 B)False

Calculate the End of Discount Period and End of Credit Period. Aug. 19 (Aug. 9 + 10 days)

Cash discounts are:

Marvin Gate bought some fencing from a wholesaler for $6,000. The wholesaler offered a trade discount of 35%. What was the original price? (Round to the nearest cent.)

Joanne's Dress Shop received an invoice dated July 25 for $1,400, with terms of 2/10, 1/15, n/60. On August 8, Joanne's Dress Shop sent a partial payment of $750. The actual amount that should be credited is:

The single equivalent discount rate of 9/5/4 is .17008.

The complement of 25% is 52%.

2/10, n/30 is an example of:

Calculate the list price based on the information given below.

Sometimes the seller will prepay the freight if it is FOB destination.

Roland Corporation buys stoves from a wholesaler. The list price of a stove is $900, with a trade discount of 30%. The net price is:

The complement of 10% is 90%, or in decimal .90.

Calculate the net price and amount of trade discount (use net price equivalent rate as well as single equivalent discount rate):

Feb. 15 is 71 days from Nov. 29.

A bedroom set lists for $12,000 and carries a trade discount of 30%. Freight (FOB shipping point) of $150 is not part of list price. Calculate the delivered price of the bedroom set including the freight. Assume a cash discount of 2%.

Bloomberg's is offered the following chain discount(s); what is the lowest net price equivalent rate it will pay?

The complement of 35% is:

2/10, n/30, ROG means the cash discount period ends:

Which of the following is usually not true about customer catalogs?

A discount period is always greater than the credit period.

Amounts of trade discounts are not fixed.

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Sales, Excise, and Property Taxes

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Exam 7: Discounts: Trade and Cash

Calculate the End of Discount Period and End of Credit Period. Aug. 19 (Aug. 9 + 10 days)

Cash discounts are:

Marvin Gate bought some fencing from a wholesaler for $6,000. The wholesaler offered a trade discount of 35%. What was the original price? (Round to the nearest cent.)

Joanne's Dress Shop received an invoice dated July 25 for $1,400, with terms of 2/10, 1/15, n/60. On August 8, Joanne's Dress Shop sent a partial payment of $750. The actual amount that should be credited is:

The single equivalent discount rate of 9/5/4 is .17008.

The complement of 25% is 52%.

2/10, n/30 is an example of:

Calculate the list price based on the information given below.

Sometimes the seller will prepay the freight if it is FOB destination.

Roland Corporation buys stoves from a wholesaler. The list price of a stove is $900, with a trade discount of 30%. The net price is:

The complement of 10% is 90%, or in decimal .90.

Calculate the net price and amount of trade discount (use net price equivalent rate as well as single equivalent discount rate):

Feb. 15 is 71 days from Nov. 29.

A bedroom set lists for $12,000 and carries a trade discount of 30%. Freight (FOB shipping point) of $150 is not part of list price. Calculate the delivered price of the bedroom set including the freight. Assume a cash discount of 2%.

Bloomberg's is offered the following chain discount(s); what is the lowest net price equivalent rate it will pay?

The complement of 35% is:

2/10, n/30, ROG means the cash discount period ends:

Which of the following is usually not true about customer catalogs?

A discount period is always greater than the credit period.

Amounts of trade discounts are not fixed.

Whole Numbers: How to Dissect and Solve Word Problems

Fractions

Decimals

Banking

Solving for the Unknown: a How-To Approach for Solving Equations

Percents and Their Applications

Markups and Markdowns: Perishables and Breakeven Analysis

Payroll

Simple Interest

Promissory Notes, Simple Discount Notes, and the Discount Process

Compound Interest and Present Value

Annuities and Sinking Funds

Installment Buying

The Cost of Home Ownership

How to Read, Analyze, and Interpret Financial Reports

Depreciation

Inventory and Overhead

Sales, Excise, and Property Taxes

Filters