What total amount must be remitted if the following invoices, all with terms 4/10, 2/30, n/60, are paid on May 10?
$850 less 20% and 10% dated March 21
$960 less 30% and 16 2/3% dated April 10
$1040 less 33 1/3%, 25%, and 5% dated April 30
To calculate the total amount that must be remitted, we need to consider each invoice individually and apply the appropriate discounts based on the terms.
For the first invoice:
$850 less 20% and 10%
20% of $850 = $170
10% of $850 = $85
Subtracting the discounts:
$850 - $170 - $85 = $595
For the second invoice:
$960 less 30% and 16 2/3%
30% of $960 = $288
16 2/3% of $960 = $160
Subtracting the discounts:
$960 - $288 - $160 = $512
For the third invoice:
$1040 less 33 1/3%, 25%, and 5%
33 1/3% of $1040 = $346.67
25% of $1040 = $260
5% of $1040 = $52
Subtracting the discounts:
$1040 - $346.67 - $260 - $52 = $381.33
Now, let's add up the totals for each invoice:
$595 + $512 + $381.33 = $1488.33
Therefore, the total amount that must be remitted if all the invoices are paid on May 10 is $1488.33.