Bruce receives an invoice amounting to $2183 with cash terms of 5/20, n/45 and dated November 29. If a partial payment of $1500 is made on December 15, find

(a) the credit given for the partial payment (how much the partial payment will reduce the debt by) Express your answer in 2 decimal places.

(b) the balance due on the invoice. Express your answer in 2 decimal places.

(NOTE THESE ARE INCORRECT ANSWERS:

1) 468.75 credit

Explanation:

1500$(.31) .31 was derived from 16 days from now.29 to Dec.15=468.75) 2)

a.partial payment given under 20 days.So 5% discount receive on $1500=$75.

So the debt reduce by partial payment =Invoice amount-Discount received for partial payment

=$2183-$75=$2108.

b.Balance due on invoice when partial payment

=Invoice price -(Partial payment +Discount)