Exam 6: Trade Discounts, cash Discounts, markup, and Markdown

What amount will reduce the amount due on an invoice of $9410.25 by $842.00 if the terms of the invoice are 5/10,n/30 and the payment was made during the discount period?

Encino Ltd.received an invoice dated February 16 for $520.00 less 25%,8.75%,terms 3/15 E.O.M.A cheque for $159.20 was mailed by Encino on March 15 as part payment of the invoice. a)By how much did Encino reduce the amount due on the invoice? b)How much does Encino still owe?

Export Ltd.received an invoice dated August 21 from Dutch Specialties of Amsterdam with terms 5/20,n/45 for: All items are subject to trade discounts of 33.5%,7.125%,4%. a)What is the last day of the discount period? b)What is the amount due if the invoice is paid in full on September 6? c)If only a partial payment is made on the last day of the discount period,what amount is due to reduce the outstanding balance to $1500.00?

Christine's pet shop buys cat litter for $15.00 less 20% per bag.The store's overhead is 45% of cost and the owner requires a profit of 20 % of cost. a)For how much should a bag be sold? b)Calculate the amount of markup.

A dealer bought personal computers for $2250.00 less 41%,31%.They were sold for $1585.00. a)What was the markup as a percent of cost? b)What was the markup as a percent of selling price?

An appliance store sells electric kettles at a markup of 23.6% of the selling price.The store's margin on a particular model is $7.78. a)For how much does the store sell the kettles? b)What was the cost of kettles to the store? c)What is the percent markup based on cost?

The Snow Store received an invoice for $6710.00 dated July 13,terms 5/10,2/30,n/90,for a shipment of skis.The Ski Shop made two partial payments. a)How much was paid July 20 to reduce the unpaid balance to $4000.00? b)How much was paid on August 11 to reduce the outstanding balance by $1700.00?

The Exotic Import Company received an invoice dated January 5 for a shipment of goods received January 11.The invoice was for $5525.00 less 40%,8% with terms 3/20 R.O.G.How much must Exotic Import pay on January 20th to reduce its debt a)by $3000.00? b)to $3000.00?

A furniture store sold a bed regularly priced for $990.00 for $720.00.The bed was originally purchased for $600.00 less 40%.The store's overhead is 25% of the regular selling price. a)Calculate the rate of markdown at which the bed was sold. b)Calculate the operating profit or loss at the sale price.

A skateboard costing $16.23 was marked up to realize gross profit of 50% of the selling price. a)What was the selling price? b)What was the gross profit as a percent of cost?

What single discount rate is equivalent to multiple discounts of 13% and 25%?

The net price of an article is $79.84.What is the list price if a discount of 23% was allowed?

Sepaba Ltd.received an invoice dated November 20 from Wallis Specialties of Germany with terms 5/20,n/45 for: All items are subject to trade discounts of 30%,10%,5%. a)What is the last day of the discount period? b)What is the amount due if the invoice is paid in full on December 8? c)If only a partial payment is made on the last day of the discount period,what amount is due to reduce the outstanding balance to $1500.00?

What is the selling price of an item bought for $1420.00 if the markup based on selling price is 59%?

HON received an invoice from its supplier on May 9 for $32 479.87 dated May 7 with terms 3/10,1/20,n/60.HON pays $15,000 on May 11,$10 000 on May 13 and $2000 on May 21.What balance is still owed after May 30?

An invoice shows a net purchase price of $1809.13 after the subtraction of discounts of 12.5%,25%,8.3%.What was the list price?

RV World sells a make of motor home for $66 725.This regular selling price covers overhead of 12% of cost and a normal profit of 30% of cost.The cruisers were marked with a new regular selling price so that the company can offer a 25% discount while still maintaining its regular gross profit.At the end of the summer season,the motor home was marked down.The company made 20% of its usual profit and reduced the usual commission paid to the sales personnel by 27%.The normal commission accounts for 45% of the normal overhead.What was the rate of markdown?

A cheese merchant buys a case of cheese for a listed price of $96.00 less 16.5% from a cheese distributor.Overhead is 17% of cost and profit is 61% of cost.For how much should the item be retailed?

A merchant buys an item listed at $69.00 less 34% from a distributor.Overhead is 44% of cost and profit is 37.5% of cost.For how much should the item be retailed?

Ward's Jewellers sells engagement rings for $2350.00 each less 20%.Its competitors across town offer the same ring for $2390.00 less 19%,12%.What additional rate of discount must Ward's offer to meet the competitor's price?