Unless otherwise stated, round the final answer to 2 decimal places. 

^[18]  An invoice arrives from the Home Shopping Network. The invoice is dated May 28th, and the invoice amount is $600. Calculate the net payment of the invoice if the te1ms are 2/10, n/30 and the invoice is paid on June 6.

 

^[19] An invoice dated Aug. 12th for $745 containing the terms “3/15, n/60” was paid on Aug. 25th  How much should the cheque be to pay this invoice?

 

^[20] An invoice dated May 4th for $1,200 has terms 3/10, 2/30, n/60. How much should be paid on May 31st to fully pay off the invoice?

 

^[21] An invoice dated May 1st for $4,000 has terms 3/10, 2/20, n/45. It was partially paid by a $1,000 payment on May 10th and a second payment of $1,500 on May 20th. What is the outstanding balance after the May 20th payment?

 

^[22] A dealer purchased 10 DVD players at $300 each less discounts of 25% and 5%, and 5 TV’s at $450 each less 30%, 10% and 2%. The invoice for these items was dated June 5th and had terms 2/10, n/30.

1. If the dealer wishes to take advantage of the cash discount, what would be the last day for payment?
2. What amount must be paid on the day found in part 1 to fully pay it off?
3. If the dealer only sent in $2,500 on June 15th what would be the outstanding balance?

 

^[23] An invoice for $12,000 has payment terms 3/10, 2/20, n/45. Discounts are allowed for partial payments. The company made of payment of $4,000 9 days after the date of invoice, and a second payment 18 days after the date of the invoice that reduced the balance owing to $2,000. What is size of the second payment?

 

^[24]  An invoice for $2,500 has terms 2/10, n/30. The invoice is dated April 27th and half of the invoice amount is paid on May 1st and the rest is paid on May 20th. If the seller grants discounts for partial payments, by how much is the balance reduced by the 1st payment? What is the total amount paid?

 

^[25] A seller grants discounts for partial payments. An invoice for $1,200, dated May 1st, has terms 2/10, 1/15, n/60 and $400 is paid on May 5th, $400 on May 14th and the rest is paid on June 5th• How much is the balance reduced by the two early payments? How much is paid on June 5th?

 

^[26] Chan Enterprises sent CK Air an invoice dated Sept. 14th for $5,400 with terms 3/10, 1.5/20, n/45. CK Air made a payment of $2,000 on Sept 24th and a second payment on Oct 3 that reduced the balance owing to $1,000. What was the size of the second payment?

 

^[27] You receive an invoice from AG Electronics dated Feb. 10th for:

• 20 TV sets at $500 per set less 20% and 15%.
• 30 DVD players at $200 each less 25% and 10%.

AG Electronics has payment terms 2/10, 1/20, n/45. Cash discounts are allowed for partial payments. They make of payment of $4,900 on Feb 18th and a second payment on Feb 26th that reduced the balance owing to $1,500. What is the size of the second payment?

 

^[28].    The Harrison Lake Corporation likes to maintain a capital structure of 5:4:2 (dollar value of debt to common shares to preferred shares). The company is considering a new project and will need to raise $3,300,000. If the company wishes to maintain its existing capital structure, how much debt, common stock and preferred stock should they issue?

 

^[29] The Ministry of Education allocates its budget in proportion to student enrollments. The Ministry has $1,500,000 to allocate and the student enrollments are as follows:

High Knowledge Institute, The	12,000
Institute of Technology	15,000
School of Hard Knox	13,000

1. Allocate the budget in proportion to enrollments.
2. The following year total enrollment is expected to reach 65,000. High Knowledge Institute is expected to have 3,000 more students and the ratio of students at The Institute of Technology to Students at Hard Knocks will remain the same at 15:13. Give the new estimate for enrollment at each.

 

^[30] An engineering firm is owned by three partners (Alan, Barbara, and Chuck) with 4,000, 3,000 and 1,000 shares respectively. The company’s net income for the year is $4,500,000 and 10% of that income has been set aside as a performance bonus. The bonus will be allocated in the following way:

• $70,000 to be distributed amongst all staff excluding the partners.
• Each partner will get $80,000.
• The remainder is to be divided among the partners in proportion to the number of shares held.

What was the total amount of bonus received by each partner?

 

^[31] The $300,000 yearly rent of a four-story building is to be expensed to the four departments using it according to the number of floors occupied. Sales occupies two floors, Finance one floor, Administration and Research and Development (R & D) share one floor equally. How much of the rent expense is allocated to each department?

 

^[32]  Last year, Reliable Securities established a sales achievement bonus fund of $10,000 to be distributed at the year’s end among its four-person mutual fund sales force. The distribution is to be made in the same proportion as the amounts by which each person’s sales exceed the basic quota of $500,000. How much bonus will each salesperson receive from the fund if the sales figures for the year were $910,000 for Alicia; $760,000 for Bob; $460,000 for Charles; $630,000 for Diana?

 

^[33] For the past seven years the sales of Departments A, B, and C have maintained a relatively stable ratio of 4:3:2. Department A is predicting that their sales will be $500,000 next year. Based on their past sales ratio, what sales would be predicted for Department B?

 

^[34]  If the chain discount on an item listed at $2,200 is 40%, 15%, 5%, what is the net price? What single rate of discount is equivalent to this series of discounts?

 

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