Transaction:
Jan. 7 - Purchased 5700 merchandise from Kansas Corp. with terms of 1/10, n/30, FOB shipping point, invoice dated January 7
Jan 15 - Paid $400 cash for freight charges on the merchandise purchased on Jan. 7
Jan 17 - Paid Kansas Corp. for the invoice dated Jan 7, net of discount
My questions is do you first take the percent discount off then minus the shipping costs for net invoice or do you first minus the shipping costs then subtract the percent discount from the remaining amount.
Jan. 7 - Purchased 5700 merchandise from Kansas Corp. with terms of 1/10, n/30, FOB shipping point, invoice dated January 7
Jan 15 - Paid $400 cash for freight charges on the merchandise purchased on Jan. 7
Jan 17 - Paid Kansas Corp. for the invoice dated Jan 7, net of discount
My questions is do you first take the percent discount off then minus the shipping costs for net invoice or do you first minus the shipping costs then subtract the percent discount from the remaining amount.