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You place an order for 1,400 units of Good X at a unit price of $51
You place an order for 1,400 units of Good X at a unit price of $51. The supplier offers terms of 3/20, net 45.
If you do take the discount, how much should you remit?
Expert Solution
Computation of the remittance:-
Remittance = Number of units * Unit price * (1 - Discount)
= 1,400 * $51 * (1 - 3%)
= $71,400 * 97%
= $69,258
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