1- Scarlet Company received an invoice for $58,000.00 that had payment terms of 2/5 n/30. If it made a partial payment of $14,500.00 during the discount period, calculate the balance of the invoice.

Round to the nearest cent

2- Jesse received an invoice for $5,000 that had payment terms of 3/10 n/30. She made a partial payment of $3,000 during the discount period.

a. Calculate the amount credited.

Round to the nearest cent

b. Calculate the balance on the invoice after the partial payment was made.

Round to the nearest cent

3- Three invoices for the amounts of $35,300, $28,000, and $41,550 were received on July 4, 2014, August 3, 2014, and August 26, 2014, respectively. If the payment terms are 3/7, 2/30, n/60, calculate the amount that must be paid on September 2, 2014 to settle all three invoices.

Round to the nearest cent

4- A computer assembly firm purchases computer parts at $210 per computer. The operating expenses are 30% on cost and rate of markup is 60% on cost.

a. What is the selling price of each computer?

Round to the nearest cent

b. What is the operating profit per computer?

Round to the nearest cent

5- Calculate the missing values and express your answers rounded to two decimal places.

	Cost	Amount of Markup	Selling Price	Rate of Markup on Cost	Rate of Markup on Selling Price
a.			$270.00	25.00%	%
b.	$62.00			%	32.00%

6- Rolf's Golf store sells golf balls for $31 per dozen. The store's overhead expenses are 26% of cost and the owners require a profit of 21% of cost.

a. How much does Rolf's Golf store buy the golf balls for?

$

per dozen

Round to the nearest cent

b. What is the price needed to cover all the costs and expenses?

$

Round to the nearest cent

c. What is the highest rate of markdown at which the store will still break even?

%

Round to two decimal places

d. What markdown rate would price the golf balls at cost?

%

Round to two decimal places

7- A manufacturer of ovens sells them for $2,240.00 each. The variable costs are $990.00 per unit. The manufacturer's factory has annual fixed costs of $2,055,000.00.

Given the expected sales volume of 3,500 units for this year, what will be this year's net income?

Round to two decimal places

8- A machine manufacturer sells each machine for $6,200. The fixed costs are $267,050 per annum, variable costs are $1,700 per machine, and the production capacity is 79 machines in a year.

a. What is the break-even volume?

Round up to the next whole number

b. What is the break-even revenue?

Round to the nearest cent

c. What is break-even as a percent of capacity per annum?

%

Round to two decimal places

d. What is the profit or loss made if 56 machines are sold in a year?

Round to the nearest cent

9- A manufacturing company has to produce and sell 225 items every month to break even. The company's fixed costs are $2,243.50 per month and variable costs are $12.00 per item.

a. What is the total revenue at the break-even point?

Round to the nearest cent

b. What is the selling price per item?

Round to the nearest cent

10- Calculate the missing values. Express dollar values rounded to two decimal places and break-even volumes rounded up to the next integer.

Fixed Cost (FC) per month	Variable Cost (VC) per unit	Selling Price (S) per unit	Break-even Volume (x) per month	Total Variable Cost at Break-even (TVC) per month	Total Revenue (TR) per month at Break-Even
$8,400.00	$26.00	$38.00
$126,000.00	$480.00		1,030
$740.00		$78.00	20
	$34.00	$55.00	430