Merchandise
Freight
Paid by Seller
Returns and
Allowances
a. $52,300 — FOB destination, n/30 $2,700
b. 14,800 $200 FOB shipping point, 2/10, n/30 1,600
c. 19,100 — FOB shipping point, 1/10, n/30 1,300
d. 6,700 80 FOB shipping point, 2/10, n/30 300
e. 22,600 — FOB destination, 1/10, n/30 —
Answer:
a. $49,600 ($52,300 – $2,700)
b. $13,136 [($14,800 – $1,600) – ($13,200 × 2%) + $200]
c. $17,622 [($19,100 – $1,300) – ($17,800 × 1%)]
d. $6,352 [($6,700 – $300) – ($6,400 × 2%) + $80]
e. $22,374 [$22,600 – ($22,600 × 1%)]