Alliance Corporation Purchased Inventory with an Invoice Price of $22,000

question 49

Multiple Choice

Alliance Corporation purchased inventory with an invoice price of $22,000 and credit terms of 1/10, n/15. How much cash will Alliance pay if they pay within the discount period?

• A) $22,000
• B) $21,780
• C) $22,220
• D) $18,700

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Definitions:

Component Elements

Basic parts or aspects that combine to make up a more complex structure or system.

Animal Behavior

The study of how animals interact with each other and their environments, including instincts and learned behaviors.

Humanistic Psychology

A psychological perspective that emphasizes the study of the whole person and the uniqueness of individual experience and potential.

Component Parts

The individual elements or pieces that make up a larger system, device, or item, emphasizing the importance of each part to the functioning of the whole.