A retailer is considering the purchase of 100 units of a specific item from either of two

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A retailer is considering the purchase of 100 units of a specific item from either of two suppliers.

Their offers are as follows:

A: $780 a unit, total of $78,000, 1/10, n/30, plus freight of $1,500.

B: $800 a unit, total of $80,000, 2/10, n/30, no charge for freight.

Which of the two offers, A or B, yields the lower price?

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Survey Of Accounting

ISBN: 9780357132593

9th Edition

Authors: Carl S. Warren, Amanda Farmer

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