Fehr Company Sells Merchandise on Account for $7,500 to Kelly

question 210

Multiple Choice

Fehr Company sells merchandise on account for $7,500 to Kelly Company with credit terms of 2/10, n/30.Kelly Company returns $1,500 of merchandise that was damaged, along with a check to settle the account within the discount period.What is the amount of the check?

• A)$7,350
• B)$7,380
• C)$6,000
• D)$5,880

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Definitions:

Norris-LaGuardia Act

A 1932 U.S. federal law that restricted the power of courts to issue injunctions against non-violent labor disputes and marked a significant step in promoting labor rights.

Peaceful Union Activities

Actions taken by labor unions, such as strikes or protests, conducted lawfully and without violence to advocate for workers' rights and interests.

Property Rights

Legal rights over the use, control, and transfer of property, which can include both physical objects and intellectual property.

Employer

An individual or organization that hires and pays people to work for them, providing wages or salaries in exchange for the employees' labor.