Spartan Inc regularly provides services to Grieder Supply with terms 3 10, n 40 and records sales at gross During a recent month, the two firms engaged in the following transactions Spartan sold merchandise with a list price of $40,400 Spartan sold merchandise with a list price of $52,000 Grieder paid for the purchase in Transaction a within the discount period Grieder paid for the purchase in Transaction b after the discount period 1 Provide the journal entry to record the receipt of Grieders payment in Transaction c If an amount box does not require an entry, leave it blank 2 Conceptual Connection What implied annual interest rate is Grieder incurring by failing to take the sales discount and, instead, paying the gross amount after 40 days Assume a 365 day year Round the percentage to one decimal place

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Spartan Inc. regularly provides services to Grieder Supply with terms 3/10, n/40 and records sales at gross. During a recent month, the two firms engaged

Spartan Inc. regularly provides services to Grieder Supply with terms 3/10, n/40 and records sales at gross. During a recent month, the two firms engaged in the following transactions:

Spartan sold merchandise with a list price of $40,400.
Spartan sold merchandise with a list price of $52,000.
Grieder paid for the purchase in Transaction a within the discount period.
Grieder paid for the purchase in Transaction b after the discount period.

1. Provide the journal entry to record the receipt of Grieders payment in Transaction c. If an amount box does not require an entry, leave it blank.

2. Conceptual Connection: What implied annual interest rate is Grieder incurring by failing to take the sales discount and, instead, paying the gross amount after 40 days? Assume a 365-day year. Round the percentage to one decimal place.