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Business Math Pg. 193-194

In: Computers and Technology

Submitted By ekonczal
Words 561
Pages 3
p.193-194 2-20 Even

2. List Price Chain Discount Net Price Equivalent Rate Single Equivalent Discount Rate Trade Discount Net Price
Panasonic DVD player $199 8/4/3 0.856704 0.143296 $28.52 $170.48

100%-8=92% = 0.92
100%-4=96% = 0.96
100%-3=97% = 0.97
(.92) X (.96) X (.97) = 0.856704
$199 X 0.856704 = 170.484096
1-0.856904= 0.143296
$199 X 0.143296 = $28.52
4.
List Price Chain Discount Net Price Trade Discount
Trotter Treadmill $3000 9/4 $2620.80 $379.20

100% - 9= 91% = .91
100% - 4= 96% = .96
(.91) X (.96) = 0.8736
3000 X 0.8736 = 2620.80
3000 – 2620.80 = 379.20

6. List Price Chain Discount Net Price Trade Discount
Hewlett-Packard Scanner $320 3/5/9 $268.34 $51.66

100% - 3 = .97
100% - 5 = .95
100% - 9 = .91
(.97) X (.95) X (.91) = 0.838565
320 X 0.838565 = 268.3408
320 – 268.34 = 51.66
8.
Company A Company B
100 – 8 = .92
100 – 10 = .9
100 – 15 = .85
100 – 5 = .95
.91 X .9 X .85 X .95 = 0.682686
1 – 0.682686 = 0.317314 100 – 10 = .9
100 – 6 = .94
100 – 16 = .84
100 – 5 = .95
.9 X .94 X .84 X .95 = 0.675108
1 – 0.675108 = 0.324892 Company B has a higher discount

10.
Invoice Terms Last Day of Discount Period Final Bill Due (End of Credit Period)
November 27 2/10 EOM (End of Month) December 10 December 30

Past the 25th of the month – use next month
End of 2% discount period = December 10
+ 20 days = End of Credit Period = December 30
12.
Invoice Terms Last Day of Discount Period Final Bill Due (End of Credit Period)
April 10 2/10, 1/30, n/60 2% - April 20
1% - May 10 June 9

April 10 + 10 days (end of 2% discount period) = April 20
April 20 + 20 days (end of 1% discount period) = May 10
April 10 by table: 100+60=160 – June 9th
14.
Invoice Goods Received Terms Last Day of Discount Period Final Day Bill is Due (End of Credit Period)
Jan 10 Feb 3 4/10, n/30 ROG Feb 13 March 5

Feb 10 (goods

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