Posted by **Bae** on Wednesday, April 8, 2009 at 2:38pm.

1)The credit terms 2/10, n/30 are interpreted as?

2% cash discount if the amount is paid within 10 days, with the balance due in 30 days.

10% cash discount if the amount is paid within 2 days, with balance due in 30 days.

30% discount if paid within 2 days.

30% discount if paid within 10 days.

2% discount if paid within 30 days.

2) A company's net sales were $676,600, its cost of good sold was $236,810 and its net income was $33,750. Its gross margin ratio equals?

5%.

9.6%.

35%.

65%.

285.7%.

3)A company's warehouse was destroyed by a tornado on March 15. The following information was the only information that was salvaged:

(1.) Inventory, beginning: $28,000

(2.) Purchases for the period: $17,000

(3.) Sales for the period: $55,000

(4.) Sales returns for the period: $700

The company's average gross profit ratio is 35%. What is the estimated cost of the lost inventory?

$ 9,705.

$25,995.

$29,250.

$44,000.

$45,000.

- Economics -
**Writeacher**, Wednesday, April 8, 2009 at 2:42pm
Please understand that no one here will do your work for you. However, we will be happy to read over whatever you come up with and make suggestions and/or corrections.

Please post what you think.

- college -
**Bae**, Thursday, April 9, 2009 at 11:48am
i pick

1)a

2)d

3)b

is these right

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