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8 March, 07:40

Kingbird, Inc. purchased a delivery truck with a $51000 list price. The company was given a $4300 cash discount by the dealer and paid $2700 sales tax. Annual insurance on the truck is $1400. As a result of the purchase, by how much will Kingbird, Inc. increase its truck account? $46700. $49400. $50800. $51000.

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  1. 8 March, 10:20
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    Option B is correct.

    Kingbird, Inc. increase its truck account by $49,400

    Explanation:

    As a result of the purchase, Kingbird, Inc. increase its truck account by:

    =List price - cash discount + sales tax paid

    =$51000 - $4300 + $2700

    =$49,400
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