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501(c)(3) Nonprofit
Financial Accounting/The Income Statement
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Calculating Total Inventory Cost

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Gomez's Grocery purchases salsa from a wholesaler at a list price of $75 per case. A standard order of 5 cases qualifies for a 20% trade discount. Gomez also receives a 3% purchase discount on the invoice price for paying the bill within 10 days. Shipping costs a flat rate of $30. What is the total cost of the inventory order?
A

$321

B

$375

C

$288

D

$291

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