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Cash Discounts You place an order for 1900 units of inventory at a unit price of $50. The supplier offers terms of 5/20, net 45.

Cash Discounts You place an order for 1900 units of inventory at a unit price of $50. The supplier offers terms of 5/20, net 45.

PART A: How long do you have to pay before the account is overdue? ____________ days.

PART B: If you take the full period, how much should you remit? Amount Due: $ ____________.

PART C: What is the discount being offered? ____________ %

PART D: How quickly must you pay to get the discount? ____________ days.

PART E: If you do take the discount, How much should you remit? Amount Due: $ ____________.

PART F: If you don't take the discount, how much interest are you paying implicitly? Implicit Interest Amount: $ ____________.

PART G: If you don't take the discount, how many days credit are you receiving? ____________ days.

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