A couch is priced at $980.00 if bought for cash. On the stores installment plan, a down payment of $100 and 24 payments of $45 each are required. What is the finance charge?
Q: A retailer received an invoice for the purchase of twenty rackets at RM140 each. He was given trade…
A: Retailers and wholesalers want to know the one single discount rate that equates to a series of…
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: given that, purchase price = $2000 down payment = 15% amount financed = $1700 interest rate = 14.5%…
Q: A store will give you a 4.00% discount on the cost of your purchase if you pay cash today.…
A: Given information : Discount rate = 4% Time period for payment due = 1 month Purchase price…
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: Answer No of installment = 30 Monthly installment = $77.21 Total amount of 30 installment = $77.21 ×…
Q: A store will give you a 4.50% discount on the cost of your purchase if you pay cash today.…
A: The implicit rate of borrowing is the cost paid in the terms of discount by the customer if the…
Q: An item is purchased for $2500 with a down payment of $500. There is a finance charge of $ 150…
A: Purchase Price = $2,500Down Payment = $500 Calculation of Loan Amount (PV):
Q: Lynne’s Furniture Store had $350,000 in receivables and factored them to Marvin’s Finance Co. on…
A: Total amount received = Accounts receivable x % paid = $350,000 x 90% = $315,000
Q: A store will give you a 3% discount on the cost of your purchase if you pay cash today. Otherwise,…
A: Customers who choose to defer payment for the month will be letting go of the discount that they…
Q: What is the highest rate, simple interest at which the buyer can afford to borrow money in order to…
A: Highest Simple Rate: The highest simple rate is also known as the break-even rate. It is computed by…
Q: Bezamon Shoes Shop has a customer loyalty program in which it issues points to customers for every…
A: The Sales for two years 2020 and 2021 are given Required 1. What is the stand alone value of the…
Q: A firm is offered credit terms of 2/10 net 45 by most of its suppliers. The firm also has a credit…
A: Credit term refers to the term and conditions specified in a credit transaction by the seller to the…
Q: Baker's Financial Planners purchased nine new computers for $910 each. It received a 20% discount…
A: Baker's financial planner would receive a trade discount for purchasing quantity higher than 4 at…
Q: A car dealer carries out the following calculations.What is the annual percentage rate? List…
A: The APR is 19.59%.
Q: The 2012 Mini Cooper S retails starting at $25,200. Assume the dealership can purchase five with a…
A: Chain Discount is a sequence or series of discounts getting applied i.e. 1st Discount Rate is…
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: A method of the loan in which the amount of installment is evaluated by combining the principal and…
Q: ou have a credit card balance of $2,000 and are able to make payments of $50 per month. Assume the…
A: we need to use NPER function in excel to calculate number of periods/months. Formula is…
Q: What is the implicit borrowing rate being paid by customers who choose to defer payment for the…
A: Information Provided: Discount rate = 4.75% Amount due (time) = In 1 month
Q: A store will give you a 4.00% discount on the cost of your purchase if you pay cash today.…
A: Cash Discount is the discount provided by the sellers to encourage buyers to make payment of their…
Q: A machine shop has a credit card that offers rebates on purchases. A the end of Hay, the company had…
A: The minimum monthly payment is the smallest amount a client may pay on their revolving credit…
Q: A Hepplewhite sofa costs $3,000 in cash. Jaquanna Wilson will purchase the sofa in 36 monthly…
A: Given, Cash price of computer = $ 3,000 Rate per 18 months = 0.12/12 * 18 = 36%
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: The add-on interest method adds the total interest and the principal amount to reflect the amount…
Q: A store will give you a 2.75% discount on the cost of your purchase if you pay cash today.…
A: Given: Discount rate is 2.75%
Q: You are the owner of four Taco Bell restaurant locations. You have a business loan with Citizens…
A: Cash management is an integral part of financial managers. Cash management involves making decisions…
Q: A Hepplewhite sofa costs $3,850 in cash. Jaquanna Wilson will purchase the sofa in 24 monthly…
A: Cash price of computer = $ 3,850 Rate per 18 months = 0.15/12 * 24 = 30%
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: Add on Interest loan is a type of where the total amount of principal and interest is used to…
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: given information purchased amount = $50,500 down payment = 25% add-on interest = 13.2% no of…
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: The finance charged is the amount that is charged for the borrowed amount.
Q: A store will give you a 5.00% discount on the cost of your purchase if you pay cash today.…
A: Calculation of the implicit borrowing rate being paid by customers: Let's assume that the cost of…
Q: Cormack purchased merchandise with a list price of P60,000 from the Murray. Murray offers its…
A: Discount amount = Lis price x discount rate = P60,000 x 2% = P1,200
Q: A manufacturer offers a 30/25 chain discount if the invoice subtotal is above $1,000. If the list…
A: calculation of chain discount are as follows
Q: Nov 1 Purchase of 15 laptops from Dhaka-based Gallup Computers Ltd. for Rs. 55,000. Debt discount…
A: A) Ancillary Costs of the Transaction: Cost which is directly not related to the business. For nov 1…
Q: he full amount of purchase is P530. If a cash discount of 10% is allowed, find the amount of the…
A: Purchases mean where the goods have been purchased for the resale purpose. Cash discount means where…
Q: aker's Financial Planners purchased nine new computers for $910 each. It received a 20% discount…
A: solution concept credit term 5/10 n/30 means that if the payment is made within 10 days from the…
Q: Marriott Hotels purchased seven iRobot Roomba i7+ for $970 each. It received a 15% discount for…
A: Discount received The deduction from the actual price of the goods received from the seller is…
Q: The collection of a S600 account within the 2 percent discount period will result in a O a. debit to…
A: Accounts Receivables Accounts receivables are the amounts due from the customers of the company…
Q: You purchased an appliance in a certain appliance center worth P35,000 using your credit card. The…
A: The question is related to Amortization Schedule. The detals ar given.
Q: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on…
A: Here, Purchase price = $6,000 Down payment = 15% Interest rate = 13.5% No. of payments = 30 To Find:…
Q: A store will give you a 3.75% discount on the cost of your purchase if you pay cash today.…
A: Monthly rate is calculated below:
Q: Sharleen purchased merchandise with a list price of $27,985. She receives a 2% cash discount and a…
A: Discount period is the time which is given to a customer to avail a discount. If the customer pays…
Q: A merchant buys a bill of goods requiring the payment of 1500php at the end of 180 days. He is…
A: Rate of discount=5%Purchase price=1500
Q: A supplier offers the following discounts: Trade discounts of 20% at list price and another cash of…
A: The amount paid after discount is calculated as difference between total invoice price and discount…
Q: A credit card has a 21.99% APR, a minimum monthly payment of 3.15%, and a current monthly statement…
A: Minimum monthly payment is the least amount of money paid by the credit card holder every month .…
Q: A washer-dryer combination can be purchased from a department store by making monthly credit card…
A: Amortized Loan: Amortized loan is a type of loan in which the borrower would pay periodic payments…
Q: Which one of the following statements is correct if you purchase an item with credit terms of 3/15,…
A: The credit terms are the terms of sale for customers who have been extended credit by the firm. Here…
Q: A savings and loan charges 2.225 points for a home buyer to obtain a loan of $255,000. Calculate the…
A: The formula to compute discount points is as follows: Discount points=Loan amount×Discount points
Q: I purchased goods on account for 8,200, terms 1/10, n/30. I returned $1,700 of the goods and…
A: A discount is the reduction in the amount of cash which is to be paid by the customers for the goods…
Q: You have a credit card with an APR (Annual Percentage Rate) of 12%. You begin with a balance of…
A: APR = 12% Beginning Balance = $200 Payment = $75 1st month charge = $50 2nd month charge = $60
Q: If Abby INC sells items to a customer who uses a credit card for $1100 and there is a credit card…
A: Credit card expense=Amount used×Fee percentage=$1,100×1.5%=$16.5 or $17 The credit card expense is…
A couch is priced at $980.00 if bought for cash. On the stores installment plan, a down payment of $100 and 24 payments of $45 each are required. What is the finance charge?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
- A customer pays on credit for $1,250 worth of merchandise, terms 4/15, n/30. If the customer pays within the discount window, how much will they remit in cash to the retailer? A. $1,250 B. $1,200 C. $50 D. $500Backyard World buys plastic pools from a supplier with an invoice amount of $13,500. The terms of the sale are 5/10, n/30. If the retailer sends a partial payment of $8,300 on the discount date, what is the net amount still due?You buy goods at a list price of $1,500. If you receive a trade discount of 20% and terms are “3/15, n/45,” what amount must you pay if you pay within the discount period?
- A store offers its salespeople a table with coefficients to be applied to the cash sale value of its products if the customer needs to finance the purchase of the products. Assuming the store charges a compound interest rate of 6% p.m. in sales made on credit, calculate the value of these coefficients in the following situations:a) 12 monthly installments, the first being paid after thirty days; (0.119277)b) 24 monthly installments, the first of which is paid upon purchase; (0.075169) c) 36 monthly installments, the first being paid after six months. (0.091528)The XYZ Company sold goods worth $10,000 on credit. The terms of the sale are 2/10, net 30. Calculate the amount the customer needs to pay if they take advantage of the cash discount.A bill for motorboat specifies the cost as P1,200 due at the end of 100days but offers a 4% discount for cash in 30days. What is the highest rate, simple interest at which the buyer can afford to borrow money in order to take advantage of the discount?
- You receive an invoice for $17,400 with terms of 3/15, n/60. The supplier has a policy of allowing a cash discount for partial payments and you pay $8,000 within the discount period. Calculate the amount of credit you will receive for this payment.The full amount of purchase is P530. If a cash discount of 10% is allowed, find the amount of the cash discount and the net amount to be paid. Round to the nearest centavoA store will give you a 3.75% discount on the cost of your purchase if you pay cash today. Otherwise, you will be billed the full price with payment due in 1 month. What is the implicit borrowing rate being paid by customers who chose to defer payment for the month?
- A store will give you a 4.75% discount on the cost of your purchase if you pay cash today. Otherwise, you will be billed the full price with payment due in 1 month. What is the implicit borrowing rate being paid by customers who choose to defer payment for the month?GJ Office Supplies offers the following discounts: Trade discounts of 10% at list price and another cash discount of 5% if paid in full before the due date. How mush is to paid if a customer pays before due date at a list price of P62,000.A store has a sale with 10 % off every item. When you enter the store, you receive a coupon that states you receive an additional 10 % off any sale price. If you plan to purchase an item that sells for $23, what will your total discount be (a) in dollar amount and (b) in percent?