Respuesta :
Answer:
Net sales is $3724 while gross profit is $924
Explanation:
2/30 implies that the customer receives cash discount of 2% if payment is made within 30 days of invoice date.On that premise, I calculate the net sales and gross profit as follows:
Sales $3800
less;cash discount(2%*$3800) ($76)
Net sales $3724
less costs of good sold ($2800)
Gross profit $924
Net sales is total sales less cash discount given
Gross profit is net sales minus cost of goods sold
The above is an extract of the statement of profit and loss account or income statement
