On April 6, 2016, Home Furnishings purchased $41,000 of merchandise from Una Imports, terms 3/10 n/45.

On April 6, 2016, Home Furnishings purchased $41,000 of merchandise from Una Imports, terms 3/10 n/45. On April 8, Home returned $8,600 of the merchandise to Una Imports for credit. Home paid cash for the merchandise on April 15, 2016.

Required
a.  What is the amount that Home must pay Una Imports on April 15?



b.    Record the events in a horizontal statements model like the following one.


c.   How much must Home pay for the merchandise purchased if the payment is not made until April 20, 2016?


d.    Record the payment in Requirement c in a horizontal statements model like the one above.

Explanation:

a.

Purchase	$	41,000
Less: return		(8,600	)
Gross due (subject to discount)		32,400
Discount percentage	×	3	%
Amount of discount	$	972

Gross amount due	$	32,400
Less: discount		(972	)
Net amount due	$	31,428

c.

$32,400; they would not be eligible for the discount.