A Company Purchased $1,800 of Merchandise on July 5 with Terms

question 158

Multiple Choice

A company purchased $1,800 of merchandise on July 5 with terms 2/10, n/30. On July 7, it returned $200 worth of merchandise. On July 14, it paid the full amount due. The amount of the cash paid on July 14 equals:

• A)$200.
• B)$1,564.
• C)$1,568.
• D)$1,600.
• E)$1,800.

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Definitions:

Subsistence

The minimum level of resources (food, shelter, clothing) that is required for individuals to survive.

Thomas Malthus

An English scholar and demographer known for his theory that population growth will always tend to outrun the food supply and that betterment of humankind is impossible without strict limits on reproduction.

Total Fertility Rate

An estimate of the average number of children a woman will have over her lifetime, based on current birth rates.

Replacement Rate

In demography, it refers to the fertility rate at which a population exactly replaces itself from one generation to the next, without migration. In economics, it can refer to the ratio of benefits (like pensions) replacing employment income.