Bramble Corp. sells $1800 of merchandise on account to Flounder Company with credit terms of 2/12, n/30. If Flounder Company remits a check taking advantage of the discount offered, what is the amount of Flounder Company's check

The amount of Flounder check would be $ 6,964

Explanation:

The amount of the check would be the selling amount deduct the discount amount (which came from the selling amount of discount percentage).

The amount of Flounder check is computed as:

Amount = Selling amount × Percentage

where

Selling amount is $1,800

Percentage is as:

Percentage = 100% - Discount

where

Discount is 2%

So,

Percentage = 100% - 2%

= 98%

Putting the values above:

Amount = $1,800 × 98%

Amount = $6,964

explanation:

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