Use the following information for questions 108 and 109.
On May 1, 2015, TV Inc. consigned 80 TVs to Ed's TV. The TVs cost $450. Freight on the shipment paid by Ed's TV was $1,000. On July 10, TV Inc. received an account sales and $21,500 from Ed's TV. Thirty TVs had been sold and the following expenses were deducted: $$\begin{array} { l c }
\text { Freight } & \$ 1,000 \
\text { Commission (20\% of sales price) } & ? \
\text { Advertising } & 650 \
\text { Delivery } & 350
\end{array}$$
-The total sales price of the TVs sold by Ed's TV was
A) $25,625.
B) $26,875.
C) $27,313.
D) $29,375.

Question

Use the following information for questions 108 and 109.
On May 1, 2015, TV Inc. consigned 80 TVs to Ed's TV. The TVs cost $450. Freight on the shipment paid by Ed's TV was $1,000. On July 10, TV Inc. received an account sales and $21,500 from Ed's TV. Thirty TVs had been sold and the following expenses were deducted: $$\begin{array} { l c } 
\text { Freight } & \$ 1,000 \
\text { Commission (20\% of sales price) } & ? \
\text { Advertising } & 650 \
\text { Delivery } & 350
\end{array}$$
-The total sales price of the TVs sold by Ed's TV was
A) $25,625.
B) $26,875.
C) $27,313.
D) $29,375.

Quizplus · Accepted Answer

The total amount received by TV Inc. was $21,500. This amount is after deducting the expenses and commission. To find the total sales price, we need to add back all the expenses and the commission to the amount received.Given expenses:- Freight: $1,000- Advertising: $650- Delivery: $350The commission is 20% of the sales price, which means the sales price is the remaining 80%. Let's denote the total sales price as $S$. Therefore, the equation to find the total sales price before deductions is:$$0.8S = 21,500 + 1,000 + 650 + 350$$First, add all the expenses and the amount received:$$21,500 + 1,000 + 650 + 350 = 23,500$$Since $0.8S = 23,500$, to find $S$, we divide by 0.8:$$S = \frac{23,500}{0.8} = 29,375$$Therefore, the total sales price of the TVs sold by Ed's TV was $29,375.

Use the Following Information for Questions 108 and 109 -The Total Sales Price of the TVs Sold by Ed's