A company purchased $4,000 worth of merchandise. transportation costs were an additional $350. the company later returned $275 worth of merchandise and paid the invoice within the 2% cash discount period. the total amount paid for this merchandise is:

Question

Business

Memphis Francis

6 May, 17:30

A company purchased $4,000 worth of merchandise. transportation costs were an additional $350. the company later returned $275 worth of merchandise and paid the invoice within the 2% cash discount period. the total amount paid for this merchandise is:

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Answers (1)

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Christopher Obrien · Answer 1

Hi there

Worth of merchandise after purchase returns

4,000-275=3,725

Worth of merchandise after cash discount

3,725+3,725*0.02=3,799.5

Add the transportation cost to the cost of merchandise to get total amount paid for this merchandise

3,799.5+350=4,149.5

Good luck!