How to calculate the list price? O a. List price = Amount of Discount/Rate of Discount O b. List price - Amount of Discount/Rate of Discount O c. List price + Amount of Discount/Rate of Discount O d. List price / Amount of Discount/Rate of Discount

Q: Which of the following is NOT true about a discount rate? It can be expressed as a fraction over the…

A: Discount rate refers to rate at which discount will be given. It is a normally used practice in the…

Q: Which one of the following types of discounts is given to the buyer if the buyer makes a bulk…

A: The answer for the question on discounts is given hereunder :

Q: Define Discount Rate.

A: A discount rate is rate which is used to bring future value of cash flow to the present value.It is…

Q: When offered with single trade discounts or discounts series, would you avail of them right away?

A: Single trade discounts- are discounts that a supplier offers to customers when a specific condition…

Q: What procedures are followed in the allocation of a discount?

A: When a sale or a purchase is made for an amount  that is less than the sales price, the differences…

Q: Cost Selling price Transportation in Purchase discount Purchase return: Cost Selling price Sales…

A: The approaches is given as,

Q: Explain an example of dollar value LIFO retail method.

A: Under this method, goods are combined into pools and all increases and decreases in a pool are…

Q: Net price discount

A: The net price is the price paid for an item in actuality. It is the actual amount paid by the…

Q: Discount received is an example of: Indirect income Direct Income Net Income General Incom

A: Discount received indicate the situation where the seller allows some relaxation on the price of…

Q: types of discounts is given to the buyer if the buyer makes a bulk purchase ?

A: The amount that is a fixed rate and deductable from the invoice price is known to be discount. This…

Q: the amount recorded as a sale , and the actual amount collected when paid within the discount…

A: Trade discount is the discount which is received by the buyer of the goods on the purchase of goods…

Q: Make adjustment on price of a good (add or deduct) on following table. Place the adjustments…

A: All the costs incurred to bring the raw material or goods to the place of business, are treated as…

Q: When offered with single trade discounts, discount series, and cash discount, would you avail of…

A: Single trade discounts- are discounts that a supplier offers  to customers when  specific condition…

Q: Explain the argument for and against the use of net price method with respect to purchase discounts?

A: The Net Price Method (NPM) provides information about the purchase discounts lost by the company and…

Q: Distinguish trade discounts and cash discounts.

A: Introduction: Discount: Discount is an expense to be shown in income statement. All expenses to be…

Q: Define discounts (in credit terms)

A: Discount in credit terms is a method utilized to understand receivables for deal with cash flow…

Q: What is the net price and trade discount

A: The offering of multiple trade discounts by the business on the product sold to the customer is…

Q: Down payment refers to a. A trade discount b. An installment payment C. A partial payment d. A cash…

A: The question is multiple choice question. Required  Down Payment refers to ?

Q: Explain the difference between a trade discount and a cash discount.

A: Discount is the deduction from the cost of product or service that a seller offers to the buyer…

Q: Which of the following is not included when computing Net Purchases?A. purchase discountsB.…

A: Purchases is the value of cost of goods that is being purchased or acquired from the suppliers…

Q: Compare standard quantity discounts to cumulative quantity discounts.

A: Cumulative Quantities Discount (CQD) is a system intended to recompense consumers after a definite…

Q: Describe the discounting process?

A: discounting is the process of determining the future value into present value, In discounting time…

Q: When offered with single trade discounts or discounts series, would you avail of them right away?…

A: Single trade discounts- are discounts that a supplier offers  to customers when  specific condition…

Q: Trade Discount and Cash Discounts

A: Trade discount Purchase price * Rate of trade discount Purchase price $2,000 Rate of trade…

Q: Purchase returns and discounts are deducted from gross purchases when computing for net purchases.…

A: Solution: Net Purchases = Gross purchases - Purchase returns and allowances - Purchase discounts

Q: Define discount percentage (credit)

A: The discount rate is the amount paid on debit and credit card payments to a dealer for payment…

Q: calculate the discount date and the net date for the transaction.

A: Given that the invoice terms are 2/10 , n/45 That is if the invoice is paid in 10 days we get a…

Q: Which of the following is the correct calculation of rate of mark-up on selling price? a.…

A: Rate of Markup on Selling Price:-Sales price minus the unit cost that divides that number of unit…

Q: The transaction price: A) Is always the price that competitors see. B) May include a trade…

A: Price: It implies to an estimated amount of money that acts as consideration in sale or purchase of…

Q: When the net price method is used to record credit sales, the sales discount not taken account is…

A: Under the net price method, all the credit sales are recorded at a net amount that is the amount…

Q: Calculate the net price factor ( as a % ) and net price ( in $ ) by using the complement method,…

A: Data given:: List price = $1244.25 Trade discount = 45.9%   Required:: Net Price Factor and  Net…

Q: What do you understand from trade and cash discount? How to calculate trade discount, cash discount…

A: SOLUTION- To increase sales revenue and attract more buyers, every company offers trade and cash…

Q: the discount that is being acquired

A: First option is wrong because the cash discount is the discount given by the seller to the buyer for…

Q: The journal entry for recording the unexpired discount is: Dr Bills discounted Cr Interest and…

A: Unexpired discount also known as rebate on bill discounted refers to the interest or discount for…

Q: The buyer calls cash discount as a. Managing discount b. Purchase discount O c. Sales discount d.…

A: The buyer receives the discount on purchases.

Q: The time period during which the invoice is paid is called: A. Rate of discount B. Discount period…

A: Invoice refers to a document representing the information about the amount owed by customers through…

Q: What’s the difference between order and volume discounts? Justify your answer.

A: Manufacturers and sellers utilize volume discount pricing, or volume discounting, to reward…

Q: What is the difference between a sales discount, a sales return and a sales allowance?

A: A contra account is an account whose balance is opposite of the general or usual balance of that…

Q: or Discount and Direct Discount pricing, apart from who pays for the subscription?

A: You pay for the membership directly with the ProAdvisor discount and enjoy an ongoing discount. With…

Q: Which of the following is indicative of discounts received from a supplier on account of early…

A: solution concept Quantity discount : discount given when large quantity is purchased Value discount…

Q: Calculate the net price factor (as a %) and net price (in $) by using the complement method. Round…

A: Net Price: It is the price that is actually paid after the discount has been deducted.

Q: The "Allowance for sales discounts" account may be used under Select the correct response: O Net…

A: Solution: Allowance for sales discount is used when sales discount is accounted for using estimates…

Q: what is the advantage of recording discount lost in the discounts lost account

A: Discount loss refers to the expenses that occur due to not taking advantage of cash discounts. In…

Q: What is the difference between order discounts and volume discounts?

A: there are different types of discount from the cells that customer can earn close discount are…

Q: The classification and normal balance of sales discount

A: The sales discount is the discount provided to customers, which decreases the value of sales…