Respuesta :
Answer:
$536
Explanation:
In the question, the terms 2/10, n/30 mean that Willetta Company will receive a 2 percent discount if it pays within 10 days or it will pay the full amount (n means net amount) of the amount due in 30 days if it does not pay within 10 days.
Since the company pays the amount due within the discount period of 10 days, that means it received the 2 percent discount.
The amount of the discount that will be taken by Willetta Company can therefore be calculated as follows:
Amount payable = Original purchase amount – Inventory returns - Allowance for defective inventory
Amount payable = $20,000 - $3,000 - $200 = $26,800
Discount amount = Amount payable × discount rate
Discount amount = $26,800 × 2% = $536
Therefore, the amount of the discount that will be taken by Willetta Company is $536.
