Ellen co. has offered their customers a 1% discount off the amount owed if they pay within 15 days of receiving their bill. handler company owed ellen co. $2,185 as of may 1st and paid ellen co. on may 7th. how much cash did handler company send to ellen co. on may 7th?

Question

Uriah Herrera

Business

27 March, 16:55

Ellen co. has offered their customers a 1% discount off the amount owed if they pay within 15 days of receiving their bill. handler company owed ellen co. $2,185 as of may 1st and paid ellen co. on may 7th. how much cash did handler company send to ellen co. on may 7th?

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Lea Boyer · Answer 1

In this case, handler company gets a discount of $21.85 (1% from the borrowed amount) if they pay within 15 days. Instead of sending a money with a sum of $2,185 to Ellen co., they will be paying only $2,163.15 - which is $21.85 less qualifying to the 1% discount.