Given a purchases invoice showing 5 items at N40,000 each less trade discount of 25% and cash discount of 10% the amount to be paid within the credit period...
Question 1 Report
Given a purchases invoice showing 5 items at N40,000 each less trade discount of 25% and cash discount of 10% the amount to be paid within the credit period is
Answer Details
The net price of each item after a trade discount of 25% is 75% of N40,000 = N30,000. So the total cost for 5 items would be N30,000 x 5 = N150,000.
Now, there is a cash discount of 10% available if payment is made within the credit period. This means that the amount to be paid within the credit period would be 90% of N150,000.
Therefore, the amount to be paid within the credit period would be 90/100 x N150,000 = N135,000.
Hence, the answer is N135,000.
Download The App On Google Playstore
Everything you need to excel in your exams
Personalized AI Learning Chat Assistant
200,000+ Exam Questions Across IGCSE, JAMB, WAEC & NECO
Over 3,900 Lesson Notes
Offline Support - Learn Anytime, Anywhere
Green Bridge Timetable
Literature Summaries & Potential Questions
Track Your Performance & Progress
In-depth Explanations for Comprehensive Learning