Screws and Bolts Outlet buys a shipment of screws with a list price of 2,400. If the supplier extends trade discounts of 20/25/10, what is the trade discount amount?
A) 480
B) 1,920
C) 1,104
D) 1,440
Q. 2A paper shredder purchased by Value Choice Electronics is expected to last 5 years. The purchase price was 3,943. Shipping costs were 150 and initial setup charges were 157. The trade-in value is 395. Prepare a depreciation schedule using the sum-of-the-year's method, then enter the accumulated depreciation at the end of year 4 as your answer.
A) 2,997
B) 649
C) 257
D) 3,598
Q. 3A discount store purchased some special product at a list price of 1,600. If the broker gives a 20.25 trade discount, what is the amount of the trade discount?
A) 1,276.00
B) 324.00
C) 950.00
D) 1,706.00
Q. 4A Dodge Ram delivery truck purchased by Fresh Flowers is expected to last 3 years. The purchase price was 75,300. Shipping costs were 2,960. The trade-in value is 9,836. Prepare a depreciation schedule using the straight-line method, then enter the accumulated depreciation at the end of year 2 as your answer.
A) 35,684
B) 37,644
C) 51,576
D) 45,616
Q. 5Gadgets Inc, received an invoice from a supplier for raw materials that had a list price of 12,600.00. The supplier offered a series discount of 30/20/10 and terms of 2/10, n/30 ROG and F.O.B. destination. The supplier pre-paid the freight of 350.00. The invoice was dated June 10 and the goods were received on June 30. If Gadgets remitted full payment on July 10, what was the amount they paid?
A) 6,566.39
B) 5,880.39
C) 6,223.39
D) 6,573.39
Q. 6Clear Restorations purchased a floor machine for 10,520. Delivery costs totaled 1,250. The salvage value is 1,350 after 8 years. Using the straight-line depreciation method, calculate the book value at the end of year 5.
A) 1,302.50
B) 5,257.50
C) 6,512.50
D) 7,525.50
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