A Buyer of $7,000 in Merchandise Inventory Failed to Take

question 239

Multiple Choice

A buyer of $7,000 in merchandise inventory failed to take advantage of the vendor's credit terms of 2/15,n/45,and instead paid the invoice in full at the end of 45 days.By not taking advantage of the cash discount,the buyer lost the discount of:

• A)$70.
• B)$1,050.
• C)$700.
• D)$100.
• E)$140.

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Definitions:

Bachelor's Degree

A bachelor's degree granted by higher education institutions after finishing a program of study that spans three to seven years, varying based on the college and field of study.

Empathy

The ability to understand and share the feelings of another individual, allowing for greater connection and communication by seeing things from their perspective.

Integrity

The quality of being honest and having strong moral principles; moral uprightness.

Civility

The behavior of showing politeness and respect towards others in a society.