On April 2, merchandise costing $15,400 reaches the retailer located in New Orleans.  The invoice is dated March 22 and has terms of 8/10 EOM.  The invoice is paid on April 10. If the merchandise is shipped FOB New Orleans, charges reversed, with transportation charges of $300, how much should be remitted?

Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter5: Accounting For Merchandising Businesses
Section: Chapter Questions
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8. On April 2, merchandise costing $15,400 reaches the retailer located in New Orleans.  The invoice is dated March 22 and has terms of 8/10 EOM.  The invoice is paid on April 10. If the merchandise is shipped FOB New Orleans, charges reversed, with transportation charges of $300, how much should be remitted?

   (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)

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