Invoice Assignment

Due Date: Refer to Assignment Due Date document

Grading: Worth 10% of your final grade

Definition of Invoice:

An invoice or a bill is a financial document that is completed by the seller (e.g.

company) and given to the buyer (e.g. customer) outlining the types, quantities and
agreed upon prices of the goods and or/services provided to the buyer. The invoice also
indicates payment terms or how the customer is going to pay the company over a set
period of time. Typically, the buyer has a maximum amount of days to pay for the goods
and/or services purchased from the seller.

Upon completion of this assignment, you will be able to:

 Identify key terminology used in invoices.

 Complete an invoice.
 Calculate sales taxes.
 Convert between percentages, fractions, and decimals.
 Interpret interest invoicing.

Note: There are 3 parts to this assignment.

Part 1. Complete an Invoice.

Instructions: Read the scenario below and use the information provided to complete
an invoice. You can use an invoice template from Excel, or the blank invoice form
posted on DC Connect. You will also be required to show your calculations when
determining costs of the items. Online resources are posted on DC Connect to help
guide you with the mathematical component of this assignment. Save your invoice, and
submit it along with this package and your calculations to either the Invoice assignment
dropbox or print it, and hand it to me at the beginning of our next class.

Scenario:

Title: Administrative Assistant.

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Your company: Pizza Express, 477 Lakeridge Road, Pickering, ON L1H 7K3,
salesperson R. Thompson, 905 777-4433, email – [email protected]
“Hot and Fresh Guaranteed!”

Invoice Number 19-0447; Payment due in 20 days; Interest of 5% charged for late
payments. Include an appropriate on-line picture.

Purchaser – Mickey Mouse, YMCA, 1234 First Street; Port Hope, ON, L1G 6P3. .705
448-3199. Customer number 1234-87

Task: You recently received a new contract from the YMCA to cater their volunteer
appreciation party for 50 people. Your boss has asked you to create a sample menu
and invoice indicating what the potential cost may be (see attachment).

Be sure to meet the following requirements (see attachment for the menu and price
list):

 Assorted pizzas for 50 people at 3 slices per person.

 At least 5 different types of pizzas (your choice).
 At least 5 assorted dipping sauces (your choice).
 Assorted canned drinks for 50 people, go with the cheapest method of
purchase (your choice of types of drinks.)
 Apply all relevant discounts or interest, as applicable.

Part 2. Show your calculations.

How did you meet the requirements noted above in relation to how many pizzas and
drinks (packages/individual) you ordered? Show how you calculated how many pizzas
to order and how you calculated the number of cans of pop (cheapest method) below.

Pizza slices: 50x3=150 (I will need 150 slices)

Pizzas: 150 (slices) divided by 10 (amount of slices in a large pizza) = 15 large

pizzas

Pop: 50 (people) divided by 6 (6 pack) = 8.33 (I will need 8 six packs of pop which
gives me 48 pops, and 2 single cans of pop.

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Part 3. Invoice Terms - Discount and Interest calculations.

Help your customers’ understand your various invoicing payment options, or terms, by
explaining what the following terms mean. Include the due date if the customer would
like to take advantage of the discount, and the date the late fees will be added.
Calculate the applicable discounts and late interest charges, as well as the new invoice
amount after the discounts and interest charges are applied.

1. 2/10, N/30 (2/10, Net 30, 5% late interest charge):

If the order was placed today, February 4, 2020, the net value would be due in 30 days
on March 5, 2020. If the net value was paid on or before the 10 th day, February 14,
2020, the customer would receive a 2% discount. If the payment is made after the 30 th
day, the customer would incur a 5% late charge.

The subtotal of this bill comes to $474.07. If the customer payed before the 10 th day he
would receive a discount of 2%, which would equal $9.48 (474.07 x .02 = 9.48). The
new subtotal would be $464.59 (474.07-9.48=464.59).

Finally add 13% taxes which is $60.40 (464.59 x .13). Add this number to the subtotal to
get $524.99.

The final total if paid before 10 days would be $524.99.

If the customer did not pay their invoice before the 30 th day, they will receive a 5% late
charge. This late charge will equal out to be $26.79 on top of their net price, making the
bill total $562.49 (535.70 x .05 = 26.79 then 535.70 + 26.79 = 562.49).

If the customer incurs late charges, their net price will be $562.49.

2. 5/10, N/20 (5/10, Net 20, 5% late interest charge):

If the order was placed today, February 4, 2020, the net value would be due in 20 days
on February 24, 2020. If the net value was paid on or before the 10 th day, February 14,
2020, the customer would receive a 5% discount. If the payment is made after the 20 th
day, the customer would incur a 5% late charge.

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The subtotal of this bill comes to $474.07. If the customer payed before the 10 th day he
would receive a discount of 5%, which would equal $9.48 (474.07 x .05 = 23.70). The
new subtotal would be $450.37 (474.07-23.70=450.37).

Finally add 13% taxes which is $58.55 (450.37 x .13). Add this number to the subtotal to
get $508.92.

The final total if paid before 10 days would be $508.92.

If the customer did not pay their invoice before the 20 th day, they will receive a 5% late
charge. This late charge will equal out to be $26.79 on top of their net price, making the
bill total $562.49 (535.70 x .05 = 26.79 then 535.70 + 26.79 = 562.49).

If the customer incurs late charges, their net price will be $562.49.

3. 4/10, Net 15 (4/10, n/15, 5% late interest charge):

If the order was placed today, February 4, 2020, the net value would be due in 15 days
on February 17, 2020. If the net value was paid on or before the 10 th day, February 14,
2020, the customer would receive a 4% discount. If the payment is made after the 15 th
day, the customer would incur a 5% late charge.

The subtotal of this bill comes to $474.07. If the customer payed before the 10 th day he
would receive a discount of 4%, which would equal $18.96 (474.07 x .04 = 18.96). The
new subtotal would be $455.11 (474.07-18.96=455.11).

Finally add 13% taxes which is $59.16 (455.11 x .13). Add this number to the subtotal to
get $514.27.

The final total if paid before 10 days would be $514.27.

If the customer did not pay their invoice before the 15 th day, they will receive a 5% late
charge. This late charge will equal out to be $26.79 on top of their net price, making the
bill total $562.49 (535.70 x .05 = 26.79 then 535.70 + 26.79 = 562.49).

If the customer incurs late charges, their net price will be $562.49.

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Pizza Menu

9” – 4 slices
12” – 8 slices
14” – 10 slices
$15.95 $21.95 $27.50
Two-Topper Pizza

any two toppings of your choice

Grand Slam Pizza
$17.50 $24.50 $29.95
pepperoni, ham, Italian sausage, mushroom, green
pepper, onion and kalamata olives
Bacon Mushroom Melt
$15.95 $21.95 $27.50
New bacon strips, fresh mushrooms and cheese
Great Canadian Pizza
$17.50 $24.50 $29.95
Bacon Strips, Sliced Hot Sausage, Fresh Mushrooms
and Red Onion
Chicken Mushroom Melt Pizza (NEW!)
$16.95 $23.95 $29.50
chicken, mushroom, bacon and red onions on a garlic
parmesan cream sauce
BBQ Steak Pizza (NEW!)
$16.95 $23.95 $29.50
fresh mushroom, streak strips(Alberta beef) and BBQ
sauce
Vegetarian Pizza
$16.95 $23.95 $29.50
mushroom, green pepper, onion and fresh Roma
tomato
Hot Country Pizza
$16.95 $23.95 $29.50
salsa, chili seasoned beef, bacon and onion
Hawaiian Feast Pizza
$16.95 $23.95 $29.50
loads of ham, pineapple and cheese
73 Deluxe Pizza
$16.95 $23.95 $29.50
pepperoni, ham, mushroom and green pepper
Not-So-Basic Cheese Pizza $14.50 $19.95 $24.50

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Pizza Menu

loads of mozzarella and cheddar cheese

Meat Supreme Pizza
$17.50 $24.50 $29.95
pepperoni, salami, Italian sausage, ground beef and
bacon
Chicken Deluxe Pizza
$16.95 $23.95 $29.50
chicken, green pepper, mushroom and red onion
Bar-B-Q Chicken Pizza
$16.95 $23.95 $29.50
chicken, red onions and barbecue sauce
Lite Pizza
$16.95 $23.95 $29.50
feta cheese, green pepper, kalamata olives and fresh
Roma tomato
Greek Goddess Pizza
$16.95 $23.95 $29.50
spinach, red onion and feta cheese
Italian Stallion Pizza
$16.95 $23.95 $29.50
thick-sliced Italian sausage with green peppers and
mushrooms
American Pie
$16.95 $23.95 $29.50
cheddar cheese, beef, bacon and onion
Pollo El Fuego
$16.95 $23.95 $29.50
chicken, salsa and jalapenos for kicks
Donair Pizza
$17.50 $24.50 $29.95
Donair meat, red onions, diced Roma tomatoes, and
Donair sauce

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 Pop Can 6-Pack 2 Lt 1 Lt
$1.20 $4.99 $2.99 $1.99
Coke
$1.20 $4.99 $2.99 $1.99
Diet Coke
$1.20 $4.99 $2.99
Sprite
$1.20 $4.99
Coke Zero
$1.20 $4.99
Nestea Ice Tea
$1.20 $4.99
Barq's Root Beer
$1.20 $4.99
Ginger Ale

NEW DIPPING SAUCES

Choose from Cheddar Jalapeno, Sweet Chili Thai, Honey Mustard, Peppercorn Ranch,
Hot, Seafood, Italian Marinara, Creamy Garlic, Sweet Plum, Creamy Dill

 Cheddar Jalapeno - $0.79

 Sweet Chili Thai - $0.79
 Peppercorn Ranch - $0.79
 Honey Mustard - $0.79

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 Hot - $0.79

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 Seafood Sauce - $0.79
 Italian Marinara - $0.79
 Creamy Garlic - $0.79
 Sweet Plum - $0.79
 Creamy Dill - $0.79