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Consider the following short case as you respond to the next question: VLC Corporation sold merchandise with a cost of $200 on account for $300
Consider the following short case as you respond to the next question: VLC Corporation sold merchandise with a cost of $200 on account for $300 to PRT Corporation; credit terms were 2 / 10, n / 30. VLC paid the outgoing freight charge of $10. PRT paid the invoice within the discount period. Inclusive of all the transactions that affect the income statement, VLCs gross profit on the sale was:
A. $100 | ||
B. $90 | ||
C. $94 | ||
D. $84 |
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