The Consumer Electronics show reports that the HP Spectre laptop computer starts at $99.70 for a base configuration. The model displayed at its recent show costs $1,361, $124 more than the comparable 13-inch Apple MacBook Air. If Computers-R-Us buys the HP Spectre at the show with 2/15, net 30 terms on August 25, how much does it need to pay on September 8?
The amount Computers-R-Us needs to pay on September 8 is $1,235.20.
To determine how much Computers-R-Us needs to pay on September 8th for purchasing the HP Spectre laptop computer, we need to consider the terms given - 2/15, net 30.
The term 2/15 refers to a cash discount and means that if payment is made within 15 days, a 2% discount can be availed. Net 30 indicates that the full payment must be made within 30 days without any discount.
Let's calculate the amount to be paid on September 8th:
1. Calculate the cash discount if payment is made within 15 days:
Base cost of the laptop: $99.70
2% discount on $99.70 = 0.02 * $99.70 = $1.99
After applying the discount, the adjusted cost would be: $99.70 - $1.99 = $97.71
2. Calculate the total cost of the laptop without the discount:
Model displayed at the show: $1,361
The total cost without the discount would be $1,361 - $124 = $1,237
3. Determine the payment due:
If payment is made within 15 days, the adjusted cost of $97.71 would be due.
If payment is made after 15 days, but within 30 days, the full cost of $1,237 would be due.
Computers-R-Us purchased the laptop on August 25th. To calculate the payment due on September 8th:
- If Computers-R-Us pays within 15 days (by September 9th): $97.71
- If Computers-R-Us pays after 15 days but within 30 days (by September 24th): $1,237
Therefore, if Computers-R-Us pays on September 8th, they need to pay $1,237 for the HP Spectre laptop computer.
To calculate the amount Computers-R-Us needs to pay on September 8, we first need to find the total cost of the HP Spectre laptop.
The price difference between the displayed HP Spectre model ($1,361) and the comparable 13-inch Apple MacBook Air ($1,237) is $124. We know that the base configuration starts at $99.70. Therefore, the additional cost for the displayed model is $124 - $99.70 = $24.30.
Now, let's calculate the net amount Computers-R-Us needs to pay.
The net amount is the total cost minus any applicable discounts for the payment terms. In this case, the terms are 2/15, net 30, which means there is a 2% discount if paid within 15 days, with the full amount due in 30 days.
The total cost of the HP Spectre displayed model is $1,361 + $24.30 = $1,385.30.
To calculate the net amount, we subtract the discount of 2% from the total cost:
$1,385.30 - (2% of $1,385.30) = $1,355.59.
Therefore, Computers-R-Us needs to pay $1,355.59 on September 8.