Freight Terms Determine the amount to be paid in full settlement of each of two invoices, (a) and (b), assuming that credit for returns and allowances was received prior to payment and that all invoices were paid within the discount period. a. b. a. b. Merchandise $58,600 73,100 Feedback X X Freight Paid by Seller $1,300 600 Freight Terms FOB destination, 1/10, n/30 FOB shipping point, 2/10, n/30 Credit for Refunds and Allowances $6,500 3,900 Check My Work a & b. Under FOB shipping point, freight is paid by the buyer, while under FOB destination freight is the seller's expense. To determine the amount, first deduct the return before calculating the discount. Then calculate (Purchase Return - Discount) + applicable freight.

Determine the amount to be paid in full settlement of each of two invoices, (a) and (b), assuming that credit for teturns and aliowances was received prior to payment and that all invoices were paid whihin the discount period. Fedetsach + Check Wy Won the return before calculating the discount. Then caiculate (Purchase - Return - Discount) + applicable fre ght