A wholesaler ordered 14 bolts of drapery fabric at 550 per


1. A wholesaler ordered 14 bolts of drapery fabric at $5.50 per yard. Each bolt had 60 yards. The order qualified for a quantity discount of 2%. The merchandise was shipped FOB factory; freight charges of $21.80 were prepaid. The invoice was dated March 18 with terms of 2/15, N/30. How much should be remitted if the invoice is paid on March 29?

2. A vendor who normally sells with a 3% cash discount is asked to sell with an 8% discount. What will be the loaded cost of merchandise normally selling for $968 when the invoice is loaded to allow the 8% discount?

3. Merchandise with a total price of $2,896 has discounts of 45% and 15% and is sold with a 3% cash discount. How much is saved when the discounts are taken?

4. Which is a better series of discounts for the RETAILER? A or B

A - 40%, 15% and 5%

B - 30%, 20% and 10%

5. Merchandise with a total billed cost of $876.48 arrived at the store October 6. Terms of the invoice, dated September 22, were 3/10 ROG, FOB store. Transportation charges were $9.82. If the invoice is paid on October 16, how much should be paid?

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Financial Management: A wholesaler ordered 14 bolts of drapery fabric at 550 per
Reference No:- TGS01418099

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