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A supplier has the following credit terms: 2 1 0 , net 4 2 . You want to skip the discount and pay in 5

A supplier has the following credit terms: 210, net 42. You want to skip the discount and pay in 52 days. Calculate the APY for the cost of trade credit. Please click on the following link to access a blank Excel-type worksheet: Click to open: darr
14.18%
19.19%
21.42%
25.92%
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