stacys dress shop received a $1,150 invoice dated july 18 with $\frac{4}{10}$, $\frac{3}{15}$…

stacys dress shop received a $1,150 invoice dated july 18 with $\frac{4}{10}$, $\frac{3}{15}$, $\frac{n}{60}$ terms. on august 01, stacys sent a $252 partial payment. (if more than one discount, assume date of last discount.) required: a. what credit should stacys receive? note: round your answer to the nearest cent. credit $ 259.79 b. what is stacys outstanding balance? note: round your answer to the nearest cent. outstanding balance

stacys dress shop received a $1,150 invoice dated july 18 with $\frac{4}{10}$, $\frac{3}{15}$, $\frac{n}{60}$ terms. on august 01, stacys sent a $252 partial payment. (if more than one discount, assume date of last discount.) required: a. what credit should stacys receive? note: round your answer to the nearest cent. credit $ 259.79 b. what is stacys outstanding balance? note: round your answer to the nearest cent. outstanding balance

Answer

Explanation:

Step1: Understand discount terms

The terms $\frac{4}{10},\frac{3}{15},\frac{n}{60}$ mean a 4% discount if paid within 10 days, 3% discount if paid within 15 days, and net - amount due within 60 days. The invoice is dated July 18 and the partial payment is made on August 1 (14 days after the invoice date), so a 3% discount applies.

Step2: Calculate the credit amount

Let the credit amount be $x$. We know that the amount paid $P = 252$ is related to the credit amount $x$ by the formula $P=x(1 - 0.03)$. So, $x=\frac{252}{1 - 0.03}=\frac{252}{0.97}\approx259.79$.

Step3: Calculate the outstanding balance

The original invoice amount is $A = 1150$. The credit amount is $x\approx259.79$. The outstanding balance $B=A - x$. So, $B = 1150-259.79 = 890.21$.

Answer:

a. $259.79 b. $890.21