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Caterpillar purchased merchandise from Alpha Technologies as follows: Invoice date: March 12th Invoice Amount; $4,000 Terms: 2/10, n/30 If we assume an annual interest rage
Caterpillar purchased merchandise from Alpha Technologies as follows: Invoice date: March 12th Invoice Amount; $4,000 Terms: 2/10, n/30 If we assume an annual interest rage of 6% and a 360-day year, And Caterpillar has to borrow money for the remaining 20 days of the credit period. How much are the savings from taking the discount? a, 19.6
b, 6.67
c, 13.07
d, 66.93
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