Timmy's Tires Sold $18,750 Worth of Tires to Customers Using

question 54

Multiple Choice

Timmy's Tires sold $18,750 worth of tires to customers using MasterCard.The credit card fee is 4% of sales.What is the amount of cash Timmy's Tires should collect from sales?

• A)$750
• B)$19,500
• C)$18,750
• D)$18,000

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Definitions:

Invoice

An Invoice is a document issued by a seller to a buyer, indicating the products, quantities, and agreed prices for products or services.

Payment

The act of transferring money, goods, or services as an exchange to fulfil a legal obligation or purchase.

Outstanding Balance

This term refers to the amount of money owed on a loan or credit account that has not yet been repaid.

Cheque

A written, dated, and signed instrument that directs a bank to pay a specific sum of money to the bearer.