Corner Company puchased a van with a list price of P3,000,000. The dealer granted a 15% reduction in list price and an additional 10% cash discount on the net price if payment is made in 30 days. Irrecoverable taxes amounted to P40,000 and the entity paid an extra P30,000 to have a special horn installed. What amount should be recorded as initial cost of the van? a. 2,550,000 b. 2,335,500 C. 2,365,000 d. 2,325,000 CS Scanned with CamScanner

Corner Company puchased a van with a list price of P3,000,000. The dealer granted a 15% reduction in list price and an additional 10% cash discount on the net price if payment is made in 30 days. Irrecoverable taxes amounted to P40,000 and the entity paid an extra P30,000 to have a special horn installed. What amount should be recorded as initial cost of the van? a. 2,550,000 b. 2,335,500 C. 2,365,000 d. 2,325,000 CS Scanned with CamScanner

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter16: Working Capital Policy And Short-term Financing

Section: Chapter Questions

Problem 22P

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