A manufacturer offers a 25/20 c discount if the invoice subtotal is $1,000. If the list price is $52 per what is the total price of the first

Q: The balance sheet for Alpha Corporation follows: Current assets Long-term assets (net) Total assets…

A: The company's financial leverage and risk can be evaluated using the debt-to-assets ratio and…

Q: Which of the following have high return and low Liquidity? a. demand deposit account b. saving…

A: Account is referred as the record or an arrangement through which a customer’s financial assets are…

Q: What are the two types of discounts?

A:

Q: Explain the characteristics of credit products.

A: When the banks or any financial institutes commitments or guarantees on the behalf of the customers…

Q: how did you get the numbers for installment sales?

A: Instalment Method: The installment method is typically employed when a customer is permitted to…

Q: Define Sales discounts.

A: Merchandising businesses: Merchandising companies which buy goods from suppliers, or manufacturers,…

Q: What is a bank discount? How does it differ to simple interest? State the bank discount formula

A: Bank DiscountIt is the Interest amount on the loan that is being subtracted from the principal value…

Q: Using the following balance sheet and income statement data, what is the debt to assets ratio? $ 2$…

A: Debt to assets ratio means ratio between total debt and total assets in the business.

Q: Why is it important to set a credit limit?

A: Solution:- Given, Credit Limit :- The term credit limit refers to the maximum amount of credit a…

Q: When placing a hold in Navigator for savings or money market accounts, the hold notice will…

A: Money market deposit fund:  A money market deposit account—also known as a money market account—is a…

Q: Select the term that best fits each of the following definitions and descriptions. a. Notes…

A: There are varied terms used in accounting in day-to-day operations. They have a standard meaning…

Q: List price × trade discount rate = amount of trade discount. true or false

A: The question is related to true or false.

Q: What does the days’ sales in receivables indicate, and how is it calculated?

A: Day's Sales: Day's sales refer to the average number of days for which a receivable remain…

Q: What are the ways that payments by a seller to a customer is done?

A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions…

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: Distinguish between cash discounts and trade discounts for purchases. Is the amount of a trade…

A: Discounts are given to attract customers and increase sales revenue. Discounts can be given as cash…

Q: Quantity discount grand to customers to encourage them to paid early O True O False

A: (1) The given statement is False.    Quantity discount : Quantity discount is also known as Trade…

Q: Deacon Corporation has provided the following financial data from its balance sheet and income…

A: Debt to equity ratio :— It is the ratio of total liabilities to total shareholders equity.   All…

Q: why was the discount rate included in the table?

A: Discount rate is the expected rate of return for the project value which is used to convert the…

Q: 16. Which of the following is a contra account? a. Sales discounts b. Purchase returns and…

A: In accounting, a contra account is a unique kind of account that is used to lower the balance of a…

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

A: Discounts are essential in commercial transactions because they affect buyers' decisions and help…

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: What is a sale on credit and why it is needed? Give three examples?

A: Sale on Credit: A sale on credit is revenue earned by a company when it sells goods and allows the…

Q: The discount rate is the combination of what two types of discounting?   a. exponential and linear…

A: Discount rates are used for discounting the future cash flows. It helps in determining the time…

Q: How the interest rate affects the release of credit card

A: Given,

Q: What are the reasons that a company gives trade discounts?Why are trade discounts not recorded in…

A: A reduction in list or catalog price which is granted by the supplier of goods/services can be…

Q: Distinguish between bank discount and simple interest.

A: Bank discount is defined as a interest which is deducted by the bank when a loan is made. It is…

Q: what is the average amount of receivables؟ 2-what is the percentage cost of trade credit to…

A: 1) Hence, the average amount of receivables is $70,000.

Q: What happens when a client (buyer) returns goods bought on credit

A: A client (buyer) returns goods bought on credit shown here:

Q: While reporting revenue, how a company should consider barter arrangement and discount?

A: Revenue Reporting: The process of accounting for revenue for a product you offer to a client is…

Q: If any discount is offered for early payment of invoice will be called as a. Cash discount b. Trade…

A: An early payment discount – also known as a prompt payment discount or early settlement discount /…

Q: receivables turnover ratio

A: Receivable turnover ratio is an important accounting metric used to evaluate the performance of…

Q: What does the accounts receivable turnover ratio measure, and how is it calculated?

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Q: How is the receivables turnover ratio measured? What does this ratio indicate? Is a higher or lower…

A: Receivables turnover ratio is measured by dividing net credit sales of a period by average accounts…

Q: True / False) A purchases discount can be referred to by the buyer as discount received.

A: A purchase discount is given to the buyer at the time of sale of inventory. It is also known as a…