Question

You purchase goods from Rocky Mountain Sporting Equipement, Inc.
The total (which already includes a $250 priority-rate shipping charge) is $5,285.
The terms of the invoice are 4/10, 2/15, n/30. The invoice date is April 4, 2019.

In the space below type the calculations you made to determine the amount you will pay
Rocky Mountain if they receive your check by April 13th. 1 pt for final answer, 3 points possible for correct steps.

Answer 1

4/10,2/15, n/30 Means

4% discount will be provided, if payment made in 10 days

2% discount will be provided, if payment made in 15 days

Credit period allowed with discount is 30 days.

In the given case Payment made in 9 days ( With in 10 Days ). Hence 4% discount will be ereceived.

Ampount to be paid = Invoice * ( 1 - Disc rate )

= $ 5285 * ( 1 - 0.04 )

= $ 5285 * 0.96

= $ 5073.60

Assuming credit terms will applicable for shipping charge included in Invoice.