Payment was done on August 30 for the invoice below. Please fill in the blank for the missing quantities.
Terms: 5/10, 3/20, n/30
Date: August 19
Quantity
Description
Unit List Price
Total
5
Frying Pan
RM25.00 each
5
Glass Jar
RM25.00 each
10
Knife
RM5.40 each
15
Chopping Board set
RM12.95 each
Total list price
Trade Discount 15/10
Total after trade discount
Cash Discount
Net Cost
Shipping and Insurance
23.95
Total Invoice Amount
To calculate the missing quantities, we need to understand the terms mentioned: 5/10, 3/20, n/30.
- The 5/10 term means that there is a 5% discount if payment is made within 10 days.
- The 3/20 term means that there is a 3% discount if payment is made within 20 days.
- The n/30 term means that the full amount is due within 30 days.
Let's calculate the missing quantities step by step:
1. Calculate the Total List Price:
Total List Price = (5 * RM25.00) + (5 * RM25.00) + (10 * RM5.40) + (15 * RM12.95)
2. Calculate the Trade Discount:
Trade Discount = (15/10) * Total List Price
3. Calculate the Total after Trade Discount:
Total after Trade Discount = Total List Price - Trade Discount
4. Calculate the Cash Discount:
Cash Discount = (5/100) * Total after Trade Discount
5. Calculate the Net Cost:
Net Cost = Total after Trade Discount - Cash Discount
6. Calculate the Total Invoice Amount:
Total Invoice Amount = Net Cost + Shipping and Insurance (RM23.95)
Let's calculate each step:
Step 1: Calculate the Total List Price:
Total List Price = (5 * RM25.00) + (5 * RM25.00) + (10 * RM5.40) + (15 * RM12.95)
Total List Price = RM125.00 + RM125.00 + RM54.00 + RM194.25
Total List Price = RM498.25
Step 2: Calculate the Trade Discount:
Trade Discount = (15/10) * Total List Price
Trade Discount = (1.5) * RM498.25
Trade Discount = RM747.38
Step 3: Calculate the Total after Trade Discount:
Total after Trade Discount = Total List Price - Trade Discount
Total after Trade Discount = RM498.25 - RM747.38
Total after Trade Discount = -RM249.13
Since the Trade Discount is more than the Total List Price, it seems there might be an error in the calculations. Please double-check the calculations and provide the correct values for the step-by-step calculations.
To fill in the missing quantities, we need to understand the terms mentioned in the given invoice: 5/10, 3/20, n/30.
The numbers in the terms 5/10, 3/20, n/30 represent the payment terms offered by the seller. Let me explain what these numbers mean:
1. The first number represents the cash discount percentage.
2. The second number represents the number of days within which the cash discount is available.
3. The third number represents the net due days, that is, the number of days within which the full payment needs to be made.
In this case, the terms mentioned are 5/10, 3/20, n/30. So, we know that a cash discount is applicable but the exact discount percentage is missing (denoted by n).
To calculate the missing quantities, we need to apply the rules of the terms mentioned:
1. The first step is to calculate the total list price, which is the summation of the individual totals for each item listed.
Total list price = Sum of (Total for each item) = RM (Total for Frying Pan + Total for Glass Jar + Total for Knife + Total for Chopping Board set)
2. The trade discount is calculated based on the total list price and the given trade discount percentage.
Trade Discount = (Trade Discount Percentage / 100) * Total List Price
3. The total after trade discount is calculated by subtracting the trade discount from the total list price.
Total after trade discount = Total List Price - Trade Discount
4. The cash discount is calculated based on the total after trade discount and the cash discount percentage.
Cash Discount = (Cash Discount Percentage / 100) * Total After Trade Discount
5. The net cost is calculated by subtracting the cash discount from the total after trade discount.
Net Cost = Total After Trade Discount - Cash Discount
Now, to fill in the missing quantities, the cash discount percentage (denoted by n) needs to be provided.