Answer:
See explanation section
Explanation:
We know, 3/10, n/30 means the customer will get 3% discount if he/she gives the payment within 10 days, however, he/she has to pay the money within 30 days.
As Snell company sold the products on April 1, and received the payment on April 8, the company gave a 3% discount to customer. As there is discount, the financial statements will be as follows:
Income statement
Sales = $50,000
Less: Sales discount = (1,500)
$50,000 × 3%
Net sales $48,500
