Fragment Company Is a Wholesaler That Sells Merchandise in Large

question 194

Multiple Choice

Fragment Company is a wholesaler that sells merchandise in large quantities.Its catalog indicates a list price of $300 per unit on a particular product and a 40% trade discount is offered for quantity purchases of 50 units or more.The cost of shipping the merchandise is $7 per unit under terms FOB shipping point.If a customer purchases 100 units of this product,what is the amount of sales revenue that Fragment will record from this sale?

• A)$18,000
• B)$30,000
• C)$18,700
• D)$29,300
• E)$30,700

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