Railco sells to its customers on account with terms of 2% / 5 /net 15. Ronco...
Railco sells to its customers on account with terms of 2% / 5 /net 15. Ronco purchases $20,000 of goods on account on 1 December and pays its bill on 5 December. How much will Ronco pay for this purchase?
Homework Answers
Ans:$19600
Explanation:
How much will Ronco pay for this purchase?
Ranco Paid within 5 days as per terms so he can avail 2% discount out of the amount so
Ronco will pay for the purchase is $20,000*98%=$19600
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