Calculate the discount received in Department B

\(\begin{array}{c|c} & \text{Dept A} & \text{Dept B} \\ \hline & N & \\ \hline \text{Sales} & 250 000 & 500 000 \\ \hline \text{Purchases} & 150 000 & 250 000 \\ \hline \text{Discount received} & 24 000 & \\ \hline \text{Discount allowed} & 15 000 & &

\end{array}\)

  • A ₦12,000
  • B ₦15,000
  • C ₦16,000
  • D ₦9,000
jamb 2017accounting

The correct answer is B. ₦15,000

Before calculating the discount received in Dep. B

We need to calculate the percentage of purchases for Dep B

Out of the total purchases

Dep. A purchases 150,000

Dep. B purchases 250,000

400,000 - Total purchases

there4; \(\frac{250,000 \times 24,000}{\text{(Total discount received)}}\) x 400,000

= 15,000

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