Question
A buyer just made a $200 purchase on trade credit terms of 2/10, net 30. Assuming that the buyer pays on the last day of
A buyer just made a $200 purchase on trade credit terms of 2/10, net 30. Assuming that the buyer pays on the last day of the discount period and has an opportunity cost of funds is 7.3%, calculate the present value cost of the purchase.
Group of answer choices
$199.60
$194.83
$195.61
$198.81
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The Handbook Of Structured Finance
Authors: Arnaud De Servigny, Norbert Jobst
1st Edition
0071468641, 978-0071468640
