Homework Sourseanme company purchased 4000 of merchandise and paid 250 in t
anme company purchased 4,000 of merchandise and paid 250 in transportation cost to deliver the merchandise. acme then return 1,000 of the merchandise before paying the supplier within the discount period. acme was entitled to a two percent cash discount. how much did acme pay the supplier?
Solution
Solution: Calculation of amount paid by acme to the supplier
| Purchase | $4,000 |
| Add: Transportation Cost | $250 |
| Total | $4,250 |
| Less : goods return | $1,000 |
| Net Purchase | $3,250 |
| Less : Cash discount ($3,250 x 2/100) | $65 |
| Amount paid by Acme | $3,185 |
