purchased inventory for $ 5 comma 500 and also paid a $ 290 freight bill. JC Manufacturing returned 30 % of the goods to the seller and later took a 3 % purchase discount. Assume JC Manufacturing uses a perpetual inventory system. What is JC Manufacturing 's final cost of the inventory that it kept? (Round your answer to the nearest whole number.)

JC Manufacturing 's final cost of the inventory is $3,975

Explanation:

The computation of the final cost is shown below:

= Cost of inventory purchased - purchase returns and allowances - purchase discounts + freight in charges

where,

Cost of inventory purchased = $5,500

Purchase return and allowances = $5,500 * 30% = $1,650

Purchase discount = $5,500 * 3% = $165

And, the freight in charges is $290

Now put these values to the above formula

So, the value would equal to

= $5,500 - $1,650 - $165 + $290

= $3,975