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Cost of Trade Credit What are the nominal and effective costs of trade credit under the credit terms of 2/10, net 30? Assume a 365-day

Cost of Trade Credit

What are the nominal and effective costs of trade credit under the credit terms of 2/10, net 30? Assume a 365-day year. Do not round intermediate calculations. Round your answers to two decimal places.

The nominal cost of trade credit: %

The effective cost of trade credit: %

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