solve the following transactions made by jim a contractor
january 4 2009. bought 850 stock, trade 10% 5/10 net 60 days. what is the amount due if paid in cash?
To calculate the amount due if paid in cash for the transaction made by Jim, let's break down the information given:
1. Bought 850 stock: This means that Jim purchased 850 units of a certain stock.
2. Trade 10% 5/10 net 60 days: This is a credit term that indicates the discount, the cash payment deadline, and the total credit period.
- 10%: This refers to the discount percentage that Jim can avail of if the payment is made within the given timeframe.
- 5/10: This indicates that the payment should be made within 5 days to qualify for the discount.
- Net 60 days: This means that the total credit period is 60 days, and the payment should be made within this period to avoid any extra charges.
To determine the amount due if paid in cash, we need to consider the discount and the timeframe. Since Jim is paying in cash, he will not avail the discount.
To calculate the amount due:
1. Multiply the number of stock (850) by the cost per stock.
2. Apply the discount, if applicable.
However, the cost per stock is not mentioned in the given information. If you have the cost per stock, please provide it so I can help you calculate the amount due.