Q8.2: on june 15th, buehler company sells merchandise on account to chaz co. for $1,000, terms 2/10, n/30. on june 20th, chaz co. returns merchandise worth $300 to buehler company. on june 24th, payment is received from chaz co. for the balance due. what is the amount of cash received? a : $680 b : $780 c : $686 d : $700

C : $686

Explanation:

The computation of the cash received amount is shown below:

= (Sale value of merchandise - returned merchandise) × (100 - discount rate)

= ($1,000 - $300) × (100 - 2%)

= $700 × 98%

= $686

Since the payment is made within 30 days, so the company could avail the discount of 2% and the return goods should be deducted so that the actual amount of cash received can come.

answer; property tax payment made in july and december;