Question

> Bally Manufacturing sent Intel Corporation an invoice for machinery with a $13,600 list price Bally dated the invoice August 06 with 4/10 EOM terms, Intel receives a 30% trade discount. Intel pays the invoice on August 19. On August 1, Intel Corporation returns $600 of the machinery due to defects. What does Intel pay Bally on August 19? Payable amount 5 10,120 eBook References

Answer 1

Nte Payable = $13600- 30% trade discount
	=$9520
Paid within term of 4/10 EOM hence 4% cash discount would be available
hence net payment made would be
=$9520-4%
$ 9,139.20