Determine the Amount to Be Paid in Full Settlement of Each

question 7

Short Answer

Determine the amount to be paid in full settlement of each invoice, assuming that credit for returns and allowances was received prior to payment and that all invoices were paid within the discount period. $$\begin{array} { | l | r | r | c | r | } \hline & \textbf { Merchandise } & \begin{array} { c } \textbf { Freight Paid by } \\\textbf { Seller }\end{array} & \textbf { Freight Terms } & \begin{array} { c } \textbf { Returns and } \\\textbf { Allowances }\end{array} \\\hline \text { (a) } & \$ 4,500 & \$ 140 & \begin{array} { l } \text { FOB shipping point, } \\2 / 10 , \text { net } 30\end{array} & \$ 1,200 \\\hline \text { (b) } & 7,650 & \$ 200 & \begin{array} { l } \text { FOB destination, } \\1 / 10 , \text { net } 45\end{array} & 450 \\\hline\end{array}$$

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Definitions:

Consciousness

The state of being awake and aware of one's surroundings and one's own thoughts and feelings.

Critical Decisions

Decisions that are highly important and can have significant consequences on the outcome of a situation or the future of an individual or organization.

Fire Department

A public or private organization that provides emergency firefighting and rescue services to protect people and property from fire and other hazards.

Reflective Thinkers

Individuals who critically analyze their beliefs and experiences to gain deeper understanding.