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A firm buys on terms of 3/15, net 45. It does not take the discount, and it generally pays after 85 days. What is
A firm buys on terms of 3/15, net 45. It does not take the discount, and it generally pays after 85 days. What is the nominal annual percentage cost of its non-free trade credit, based on a 365-day year? a. 13.28% b. 5.21% c. 18.40% d. 16.13% e. 3.09%
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Investments Analysis and Management
Authors: Charles P. Jones
12th edition
978-1118475904, 1118475909, 1118363299, 978-1118363294
