Chapter Summary 
      Vocabulary Review 
       1. A reduction of the invoice price given for early payment is known as _? _. 
        cash discount 
       2. The number of people who see or hear an ad is called _? _. reach 
       3. The relationship between time and data, such as sales, is referred to as a(n) 
        _? _. trend 
       4. The selling price of an item less its cost is called the _? _. markup 
       5. A price for goods that is published in a catalog is called the _? _. list price 
       6. Price reductions, such as 10%, 10%, and 5%, are called a(n) _?_. discount 
        series 
       7. All the people interested in buying a certain product are referred to as the 
        product's _? _. market 
       8. A form sent to retailers showing the value of returned merchandise is called 
        a(n) _?_.   credit memo 
       9. A prediction, projection, or estimate of future sales is also called a(n) _?_. 
        forecast 
      10-1 Cash Sales and Sales on Account 
       1. A cashier began the day with a $140 change fund.  His cash register totals 
        were $4,529 cash received and $389.15 in cash paid out.  There was 
        $4,278.l5 cash in the register.  How much was cash over or short? Cash 
        short, $1.70 
                      2. Mendrin Markets bought these items from a wholesaler: 24 cases of canned 
                          vegetables @ $80.16 and 120 bags of sugar @ $2.31.  What was the total of 
                          the sales invoice? $2,201.04 
                      3. Mendrin Markets found that four of the bags of sugar purchased in Problem 
                          3 were ripped and unusable.  What should be the amount of the credit memo 
                          the wholesaler issues? $9.24 
                      4. A wholesaler recorded these transactions in April for Rasher Hardware's 
                          account: April 1, balance forward, $3,482; April 7, Invoice #358 for $4,233; 
                          April 12, payment of $3,482; April 13, Credit Memo #98 for $78.40; and 
                          April 28, Invoice #427 for $1,873.  What was the account's balance on April 
                          30?    $6,027.60 
                  10-2 Cash and Trade Discounts 
                      1.  An invoice dated March 11 has terms of sale of 1/10, n/45.  What are the 
                          discount date and the due date of the invoice?   March 21, April 25 
                      2.  An invoice for $3,410 dated November 6 has terms of 2/10, 1/20, n/60. What
                          is the amount of the cash discount and cash price if the invoice is paid on 
                          November 23?    $34.10; $3,375.90 
                      3.  A straw hat has a list price of $26 and is offered at a 45 % trade discount. 
                          What is the amount of the trade discount and the invoice price?   $11.70; 
                          $14.30 
                  10-3 Series Trade Discounts 
                      1.  A box of party streamers has a list price of $15.70.  The series discount 
                          offered is 20%,15%, and 5%.  What is the invoice price of the box of 
                          streamers?   $10.14 
                      2.  What are the invoice price and single discount equivalents written as 
                          percents for a series discount of 10%,15%, and 20%?   61.2%; 38.8% 
                  10-4 Markup and Markdown 
                      1. A store carries women's suits in a $400 price line. The markup is 47% of the 
                          selling price. What is the highest amount the store may pay for suits to get 
                          the desired markup?   $212 
                      2. Multi-Sports sold a hockey jersey for $112. The cost of the jersey was $85. 
                          What rate of markup on cost did Multi-Sports earn on the jersey, to the 
                          nearest percent?  32% 
                      3. At the end of a season a ski sweater with a marked price of $140 was offered
                          at a 60% discount.  What is the selling price of the sweater?    $56 
                      4.
                  10-5 Marketing Surveys 
                      1.  A research firm mailed 12,500 surveys to a company's shareholders.  The 
                          number of valid surveys returned was 4,872. What was the response rate, to 
                          the nearest percent?   39%