For a $100,000 Trade Payable with Terms of 2/10,net 45,how

question 34

Multiple Choice

For a $100,000 trade payable with terms of 2/10,net 45,how much would be reported as "purchase discount lost" under the gross method if a payment was made after 60 days?

• A)$0
• B)$2,000
• C)$4,500
• D)$10,000

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A U.S. law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures.

Harsh Penalties

Severe consequences or punishments imposed for violations of rules or laws.

Liquidity

The ease with which an asset can be converted into cash without affecting its market price.

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Financial commitments or debts that are due for repayment beyond the current fiscal year.