Overview
1. CompuFit Outlet buys portable hard disks for $480 each and has a rate of markup of 55% of the selling price. During a sale, it offers a markdown of 70%.
a. Calculate the regular selling price.
Round to the nearest cent
b. Calculate the reduced selling price.
Round to the nearest cent
2. The net price of an item after trade discounts of 38.00%, 12.00%, and 4.50% is $2,080.00.
a. Calculate the regular selling price of the goods.
Round to the nearest cent
b. Calculate the equivalent discount rate of the series of discount rates.
%
Round to two decimal places
3. A bank in London, Ontario has a buying rate of CHF 1 = C$1.3407. If the exchange rate is CHF 1 = C$1.3701, calculate the rate of commission that the bank charges.
%
Round to two decimal places
4. A bank in Toronto charges 2.00% commission to buy and sell currencies. Assume that the current exchange rate is US$1 = C$1.3019.
a. How many Canadian dollars will you have to pay to purchase US$1,440?
Round to the nearest cent
b. How much commission in Canadian dollars (C$) will you pay the bank for the above transaction?
Round to the nearest cent.
5. Shamrock Company received an invoice of $15,700 dated February 26, 2015 with payment terms 6/10, 2/15, n/30.
a. Calculate the amount required to settle the invoice on March 8, 2015.
Round to the nearest cent
b. Calculate the amount required to settle the invoice on March 13, 2015.
Round to the nearest cent.
6. Angela, the owner of a hockey rink, received an invoice for $36,275 that had payment terms of 2/10, n/30. She made a partial payment of $1,440 during the discount period.
a. Calculate the amount credited.
Round to the nearest cent
b. Calculate the balance on the invoice after the partial payment was made.
Round to the nearest cent.
7. Digital Displays Inc. makes computer monitors and sells them for $330 each. To break even, it needs to sell 510 monitors per month. If the fixed costs are $8,800 per month, what is the variable costs per monitor?
Round to the nearest cent.
8. Company A and Company B sell the same model camera for $115 and $140, respectively. During a sale, Company A offers a discount of 10% on the camera. What should Company B's rate of markdown be on the camera to match Company A's sale price?
%
Round to two decimal places