Question

Jim bought a new refrigerator for $1,050.00 on February 12. He purchased it from Siemer's Appliances, which gives customers a cash discount of 3/10, n/30. What is the amount due if Jim pays on February 20?

Answer 1

D

Explanation:

$1,018.50

3/10, n30 means take a 3% discount if the bill is paid within 10 days otherwise the net (total) amount is due within 30 days with no discount allowed.

1050 * .03 = 31.50

1050 - 31.50 = 1018.50