Question
Jenkins Company purchased goods from Jones with the following terms and details. Sales price, $14,000 Terms, (5/10, n/30) Date of sale, September 1 Date of
Jenkins Company purchased goods from Jones with the following terms and details.
Sales price, $14,000
Terms, (5/10, n/30)
Date of sale, September 1
Date of payment, September 11
Shipping, FOB Destination, $50, prepaid by seller
Determine if Jenkins, the buyer, qualifies for a cash discount, and who pays for shipping, Jenkins or Jones.
Does the buyer, Jenkins, qualify for the discount?
Yes
No
Who pays for shipping?
Jenkins, the buyer
Jones, the seller
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Advanced Accounting
Authors: Debra JeterJames Reeve, Jonathan Duchac, Horace Brock, Paul Chaney
4th Edition
0470506989, 978-0470506981
