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Phranklin Pharms Inc. purchases merchandise from a company that gives sales terms of 3/30, net 40 days. Phranklin Pharms has gross purchases of $80,000 per
Phranklin Pharms Inc. purchases merchandise from a company that gives sales terms of 3/30, net 40 days. Phranklin Pharms has gross purchases of $80,000 per year. What is the maximum amount of costly trade credit Phranklin could get, assuming it abides by the suppliers credit terms? (Assume a 360-day year.)
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