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Compute the cost of the following trade credit terms using the compounding formula, or effective annual rate. Note: Assume a 30-day month and 360-day year.
Compute the cost of the following trade credit terms using the compounding formula, or effective annual rate. Note: Assume a 30-day month and 360-day year. 4/15, net 45 3/10, net 30 3/10, net 60 4/15, net 45 When payment is made on the net due date, the APR of the credit terms of 4/15, net 45 is %.(Round to two decimal places.) The EAR of the credit terms of 4/15. Net 45 is %. (Round to two decimal places.) When payment is made on the net due date, the APR of the credit terms of 3/10, net 30 is %. (Round to two decimal places.) The EAR of the credit terms of 3/10, net 30 is %. (Round to two decimal places.) When payment is made on the net due date, the APR of the credit terms of 3/10, net 60 is %.(Round to two decimal places.) The EAR of the credit terms of 3/10, net 60 is %. (Round to two decimal places.) When payment is made on the net due date, the APR of the credit terms of 4/15, net 45 is %. (Round to two decimal places.) The EAR of the credit terms of 4/15, net 45 is %. (Round to two decimal places.)
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