purchase new sterling flatware.

5. Annie’s on the Lake needs to purchase new sterling flatware. The owner finds three patterns she likes from two separate vendors. Which is the better deal? Show all work.

15 sets of Pattern A: List price $1400 each set 15 sets of Pattern B: List price $1600 for set. 15 sets of Pattern C: List price $1800 for set.

Vendor A:
Trade discounts from list price: 40%, less 25%.
Quantity discounts offered: none.
Cash discount: 2/10, n/30.
FOB: Factory/shipping charges are running 0.5% of final cost.

Vendor B: 

Trade discount from list price: 0%, less 20%, less 5%.
Quantity discount: 1% for orders over $10,000; 1.5% for orders over $15,000; and 2% for orders over $20,000. Cash discount: 2/10–60X, shipping is FOB store.