Question

A firm had purchases of $16,200, freight charges of $300, and purchases returns and allowances of $1,100 during one month. Its net delivered cost of purchases was:
A. $14,800. B. $17,600. C. $16,200. D. $15,400.

Answer 1

Purchases and freight charges:
$16,200 + $300 = $16,500
With returns:
$16,500 - $1,100 = $ 15,400
Answer:
D ) $15,400