Holiday Paws Kennel offers a standard 20% coupon discount, a 15% multi-pet discount, and a further 10% discount for boarding pets longer than 7 days. If their daily rate for boarding is $55 per pet, how much would it cost to board 2 cats for 8 days compared to 3 dogs for 5 days?
> The price of tools is set by a hardware store to cover operating expenses at 40% of cost, and to generate an operating profit of 25% of cost. What is the rate of markup on selling price for a rotary saw selling for $129?
> The expected profits from a $52,000 investment are $8000 in Year 1, $12,000 in each of Years 2 to 5, and $6000 in each of Years 6 and 7. 1. What is the investment’s payback period? 2. If the firm’s required payback period is four years, will it make the
> Bath ’n Bedroom sets its prices to allow for overhead expenses that average 50% of unit cost and a normal profit of 30% of cost. For towel sets priced at $39.89, determine: 1. The wholesale cost. 2. The rate of markup on selling price.
> The markup on desserts in a restaurant is 70% of the menu price. The restaurant is adding key lime pie to its dessert list. The cost to the restaurant works out to $1.25 per slice. Determine: 1. The menu price of a slice of pie. 2. The rate of markup on
> The markup on greeting cards in a drug store is 65% of the selling price. For a card priced at $4.95, determine: 1. Its cost. 2. The rate of markup on cost.
> A grocery store prices fresh produce at twice its cost to the store. Determine: 1. The rate of markup on cost. 2. The rate of markup on selling price.
> An item that costs a store $152.50 is marked up by $47.45. Determine: 1. The rate of markup on cost. 2. The rate of markup on selling price.
> On June 3, Josh made a payment of $500 on an invoice for $1283.50, dated May 25. The terms of payment were 3/10, n/30. What amount was credited to Josh’s account?
> The terms of payment on an invoice for $2835.49 are 2/15, n/45. The balance owed after a payment within the discount period is $1135.49. What was the amount of the payment?
> An invoice for $2365.00 has terms 2/10, n/30. The amount credited on a payment made within the discount period was $1365.00. What was the amount of the payment?
> White’s Photography received an e-invoice from Fuji Canada dated February 27 of a leap year. The amount of the invoice is $2896.77, with terms 2 1 2 /10, 1/30, n/60. 1. What is the last date on which White’s is eligible for the 2 1 2 % discount? 2. What
> On May 25, Morris Hardware received an invoice from Precision Tools Inc. for $5076.64. The invoice was dated May 22 and offered terms of 2/10, 1/20, n/30. What payment will settle the invoice on: 1. June 1? 2. June 2? 3. June 5?
> Investment proposals A and B require initial investments of $45,000 and $35,000, respectively. Both have an economic life of four years with no residual value. Their expected profits are as follows: If the firm’s cost of capital is 7%,
> On March 26, Silke received an invoice in the amount of $5445, dated March 23, with terms 3/10, 1 1 2 /20, n/60. What payment on April 13 will settle the invoice?
> On June 29, Josef received an invoice for $815.49, dated June 27. If the terms of the invoice are 2/10, 1/20, n/60, what amount is required on July 7 to pay the invoice in full?
> An invoice for $2956.60, dated February 2, has terms 2/15, 1/30, n/90. What three equal payments on February 17, March 2, and May 2 will settle the account?
> Sutton Trucking made two equal payments, on June 25 and July 15, on an invoice for $6350 dated June 15 with terms 3/10, 1/30, n/60. The payments reduced the balance owed on the invoice to $1043.33. What was the amount of each payment?
> On August 6, A&B Construction has three outstanding invoices payable to Excel Builder’s Supply. Invoice 535, dated July 16, is for $3228.56; Invoice 598, dated July 24, is for $2945.31; and Invoice 678, dated August 3, is for $6217.69. All invoices have
> Peak Roofing sent Jensen Builders an invoice dated July 12 for $5400 with terms 3/10, 1 1 2 /20, n/45. Jensen made a payment of $2000 on July 20, and a second payment on August 1 that reduced the balance owed to $1000. What was the size of the second pay
> Ballard Jewellers received an invoice dated August 22 from Safeguard Security Systems for $2856.57 with terms 2 1 2 /10, 1/20, n/45. Ballard made payments of $900 on September 1, $850 on September 10, and $700 on September 30. What amount was still owed
> Jake received an invoice for $2500 with terms 5/10, 2/30, n/60. After one payment within the 10-day discount period, a second payment of $1057.37 within the 30-day discount period paid off the balance. What was the amount of the first payment?
> The terms of payment on a $2365 invoice dated October 25 were 1 1 2 /15, n/45. What amount will settle the invoice on November 10?
> What total amount must be paid on July 4 to settle invoices dated June 20 for $485, June 24 for $367, and June 30 for $722, all with terms 1 1 2 /10, n/30?
> A capital investment requiring a single initial cash outflow is forecast to have an operating profit of $50,000 per year for five years. There is no salvage value at the end of the five years. If the investment has an IRR of 8%, calculate its payback per
> The Simcoe School Board has three invoices from Johnston Transport, all with terms 2/10, 1/20, n/60. Invoice 277, dated October 22, is for $14,200; Invoice 327, dated November 2, is for $8600; and Invoice 341, dated November 3, is for $11,500. What total
> A payment of $3000 on a $6000 invoice qualified for the larger cash discount in 3/10, 1/20, n/30. What additional payment 18 days after the invoice date will settle the invoice?
> Northern Outfitters’ invoice to Rico’s Menswear for $2463.80 was dated October 22 with terms 2/10, n/30. Late payments are charged a 1% penalty on the overdue balance. Rico made payments of $1000 on October 31 and $800 on November 20. What amount will pa
> Ristorante Italiano made payments of $5000 on March 29 and $3000 on April 7 to General Restaurant Supplies on an invoice for $11,870. The invoice was dated March 21 and carried terms of 1 1 2 /10, 1 2 /20, n/30. 1. What is the balance after the second pa
> On March 25, Hannah received an invoice in the mail from Carpet Country for $4235. The invoiced was dated March 22 and had terms 3/15, 1 1 2 /30, n/60. If she made payments of $1000 on each of April 2, April 9, and April 22, how much does Hannah still ow
> Payments of $1000 on January 5 and $800 on January 16 were made on a $2500 invoice dated December 27. The terms on the invoice were 4/10, 2/20, n/45. What was the balance owed after the second payment?
> Mayfair Distributors sent Bed ’n Bath an invoice dated December 23 for $5344.90 with terms 2/10, 1/20, n/30. The penalty on overdue accounts is 1 1 2 % of the overdue balance. 1. What is the balance after a payment of $3000 on January 3? 2. What addition
> Contemporary Furnishings received an invoice on April 18 from Palliser Furniture. The invoice for $18,976.45 was dated April 16 with terms 2/15, 1/30, n/45. 1. What is the balance after a payment of $10,000 on May 1? 2. What additional payment on May 15
> An invoice for $3868, dated June 26, had terms 2/10, 1/20, n/45. What amount was credited for: 1. A payment of $1000 on July 5? 2. A payment of $1000 on July 16? 3. A payment of $1000 on August 10?
> An invoice for $2365, dated September 25, has terms of payment 2/20, n/30. What amount on October 5 will pay the invoice in full?
> Two mutually exclusive investments are available to a firm. Project C, requiring a capital investment of $200,000, will generate an annual profit of $43,000 for six years. Project D is expected to yield an annual profit of $30,000 for six years on an ini
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 12.5 Discount amount ($) = ? Net price ($) = 2849.00
> Calculate the missing values. List Price ($) = ? Discount rate (%) = ? Discount amount ($) = 258.75 Net price ($) = 891.25
> Calculate the missing values. List Price ($) = ? Discount rate (%) = ? Discount amount ($) = 12.33 Net price ($) = 15.07
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 40 Discount amount ($) = 7.99 Net price ($) = ?
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 35 Discount amount ($) = 612.50 Net price ($) = ?
> Calculate the missing values. List Price ($) = 49.95 Discount rate (%) = ? Discount amount ($) = ? Net price ($) = 34.97
> Ever-rest sells its mattresses for $960 less 25%. Posture-Perfect mattresses are listed at $880 less 20% and 5%. What second trade discount would Ever-rest need to offer to match Posture-Perfect’s net price?
> In addition to the basic trade discount of 20%, an outboard engine manufacturer gives a boat dealer an additional discount of 12.5% for providing follow-up warranty service, and a 5% discount for cooperative advertising and boat-show promotions. 1. After
> The representative for a European ski manufacturer offers Snow ’n Surf Sporting Goods a regular discount of 25%, a volume discount of 10% for an order of at least 100 pairs of skis, and an early booking discount of 5% for orders placed before July 1. 1.
> A wholesaler lists an item for $48.75 less 20%. What additional “special promotion” discount must be offered to retailers to get the net price down to $36.66?
> A company is evaluating two mutually exclusive projects. Both require an initial investment of $250,000 and have no appreciable disposal value. Their expected profits over their five-year lifetimes are as follows: The company’s cost of
> A retailer is offered a regular discount of 25%, a further discount of 7.5% if she places an order exceeding $10,000 (at list prices), and another 5% promotional allowance (discount) for participating in a joint promotion with the distributor. 1. If the
> 1. In announcing its third-quarter results, Prime Manufacturing reported a decline in revenue of $26.43 million representing a 3.65% decrease from the second quarter. Rounded to the nearest $0.01 million, what is the third quarter’s revenue? 2. Prime als
> An invoice shows a net price of $176.72 after trade discounts of 30%, 10%, and 2% have been deducted. 1. What was the list price of the goods? 2. What single rate of trade discount would be equivalent to the discount series?
> A manufacturer of snowmobiles sells through distributors in some regions of the country, through wholesalers in other regions, and directly to retailers in its home province. The manufacturer gives a 25% trade discount to retailers, an additional 10% dis
> Calculate the missing values. List Price ($) = 127 Discount rate (%) = ? Discount amount ($) = ? Net price ($) = 106
> Office Outlet offers a standard 7% discount on all orders and a special 5.5% volume discount if the purchaser orders at least 1000 units. South District High School is placing an order for pens costing $1.69 each. How much money could they save by placin
> At its current price of $0.80 per share, Golden Egg Resources stock is down 73% from its price one year ago. What was that price?
> The evening news reports that the S&P/TSX Composite Index dropped 1.7% on the day to close at 13,646 points. Rounded to the nearest integer, how many points did the index fall on the day?
> 1. Mirabai’s income tax rate on additional income is 42%. She has just received a wage increase of $1.25 per hour. What is her after-tax increase in hourly pay? 2. Shira’s tax rate on additional income is 47%. How much extra must he earn to keep an addit
> A company is examining two mutually exclusive projects. Project X requires an immediate investment of $100,000 and produces no profit until Year 3. Then the annual profit is $40,000 for Years 3 to 5 inclusive. Project Y requires an investment of $50,000
> Subject to certain restrictions, you may elect to start collecting the Canada Pension Plan (CPP) monthly retirement pension at any time after you reach age 60. The payments are then reduced by 0.6% for each month the pension is collected before age 65. F
> Cynthia and Byron sell mutual funds for Syndicated Investors. Purchasers of mutual funds from agents of Syndicated Investors pay a front-end commission of 5.5%. The commission is paid on the total amount paid to Syndicated Investors, not on just the net
> A merchant pays a 3.5% fee to the Bank of Montreal on all MasterCard sales. 1. What amount will she pay on sales of $17,564 for a month? 2. What were her gross sales for a month in which the bank charged total fees of $732.88?
> The net proceeds to the vendor of a house after payment of a 5.5% real estate commission were $321,111. What price did the house sell for?
> A college bookstore buys back good-condition textbooks for 45% off the retail price of new books. What will a student receive for a book currently selling at $104.50 new?
> Niagara Dairies gives convenience stores a trade discount of 24% on butter listed at $72.00 per case. What rate of discount will Silverwood Milk Products have to give on its list price of $74.50 per case to match Niagara’s price to convenience stores?
> Green Thumb Nursery sells spreading junipers to the gardening departments of local grocery and building supply stores. The net price per tree is $27.06 after a trade discount of $22.14. What rate of trade discount is the nursery giving to retailers?
> Calculate the missing values. List Price ($) = 995 Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = ?
> The net price to a car dealer of a model with a manufacturer’s list price of $34,900 is $28,687.80. What trade discount rate is the dealer being given?
> After a trade discount of 27.5%, a jeweller can obtain 0.50-carat (Empress Cut, F Colour) Canadian Polar Bear diamonds for $2138.75. What is the dollar amount of the trade discount?
> A 37.5% trade discount on a camera represents a discount of $223.14 from the suggested retail price. What is the net price to the buyer?
> Two mutually exclusive projects each require an initial investment of $50,000 and should have a residual value of $10,000 after three years. The following table presents their forecast annual profits. 1. Calculate the IRR of each project. On the basis of
> Best Buy Entertainment can obtain Panasonic MP3 players for $134 less a trade discount of 35%. A comparable Samsung model is available for $127 less a discount of 30%. Which MP3 player has the lower net cost? How much lower?
> The distributor of Nikita power tools is offering a trade discount of 38% to hardware stores. What will be the stores’ cost to purchase a rotary saw listed at $135?
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 8 1 3 Discount amount ($) = ? Net price ($) = 989.00
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 25, 10, 20, 10 Discount amount ($) = ? Net price ($) = 93.03
> Calculate the missing values. List Price ($) = 595.00 Discount rate (%) = 20, 12 12, 8 1 3 Discount amount ($) = ? Net price ($) = ?
> Calculate the missing values. List Price ($) = 99.00 Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = ?
> Calculate the missing values. List Price ($) = ? Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = 413.05
> Calculate the missing values. List Price ($) = 249 Discount rate (%) = 33 1 3 Discount amount ($) = ? Net price ($) = ?
> The basket of goods and services included in the Consumer Price Index cost $21,350 on the base date. Eight years later, the same basket cost $26,090. What was the CPI on the later date?
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 451.10 Base value = ? Current value ($) = 398.60 Current index number = 441.8
> Due to a restricted capital budget, a company can undertake only one of the following three-year projects. Both require an initial investment of $800,000 and will have no significant terminal value. Project X is anticipated to have annual profits of $400
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = ? Base value = 1000 Current value ($) = 7729 Current index number = 2120
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 8950 Base value = 100 Current value ($) = ? Current index number = 89.50
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 735 Base value = 10 Current value ($) = 689 Current index number = ?
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 189.50 Base value = ? Current value ($) = 431.70 Current index number = 2278
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 7532 Base value = 100 Current value ($) = ? Current index number = 119.5
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 3278 Base value = 1000 Current value ($) = 4961 Current index number = ?
> The late 1970s and early 1980s were years of historically high rates of inflation in Canada. The CPI was at 70.8, 77.1, 84.5, 94.6, 105.4, and 114.1 at the beginning of 1978, 1979, 1980, 1981, 1982, and 1983, respectively. These price index numbers are q
> From the end of 1990 to the end of 2018, the Standard & Poor’s 500 (S&P 500) U.S. stock index rose from 330.2 to 2506.9. If you had invested US$50,000 at the end of 1990 in a portfolio of the shares of the 500 companies in the index, what would the value
> We want to compare the increase in value of the stock portfolio represented by the S&P/TSX Composite Index during the 28-year period to the general increase in prices of goods and services during the same period. The CPI rose from 79.8 at the end of 1990
> From the end of 1990 to the end of 2018, the S&P/TSX Composite Index rose from 3257 to 14,939. If you had invested $50,000 in a portfolio of the shares of the companies in the index at the end of 1990, what would the value of those shares have been at th
> Academic Publishing is trying to decide which of two books to publish. The larger book will cost $125,000 to publish and print. Sales are expected to produce an annual profit of $32,000 for five years. The smaller book will cost $76,000 to publish and pr
> Statistics Canada calculates separate subindexes of the CPI for goods and for services. The goods index rose from 96.8 to 112.0 over a 10-year period. During the same period, the services index rose from 95.2 to 115.1. 1. How much did representative good
> A college student wishes to compare tuition fee increases during the period 2008 to 2018 to the general increase in the cost of living. Tuition increased from $355 per course in the 2008/09 academic year to $362 per course in the 2018/19 academic year. T
> In one year, the CPI increased from 106.3 to 108.9. How much money was required at the end of the year in order to have the same purchasing power as $1000 at the beginning?
> A basket of goods and services representative of the CPI cost $2750 when the CPI stood at 118.3. 1. What did the basket of goods cost 10 years earlier, when the CPI was at 93.1? 2. What was the overall percent inflation experienced by consumers for the e
> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 3278 Base value = 100 Current value ($) = 4961 Current index number = ?
> If the C$ per US$ exchange rate decreases by C$0.005 from its value in Table 4.2, what will be the change in the US$ per C$ exchange rate?
> If the C$ weakens by €0.0211 from the value in Table, what will be the new value of C$ per €1.00?
> If the C$ strengthens by £0.0021 from the value in Table, what will be the new value of C$ per £1.00?
> If the C$ weakens by C$0.0033 relative to the US$, what will be the new value for US$ per C$1.00?
> If the C$ appreciates by C$0.0017 relative to the £, what will be the new value for £ per C$1.00?
