QUESTION 33 What is the effective annualized cost of foregoing a trade discount on the terms 2/10 net 807 Not yet answered Marked out of 1.00 Select one: a. 10.5% b. 9.0% Flag question C. 10.3% d. 2.0% QUESTION 34 Short-term credit can be divided into secured and unsecured loans. Not yet answered Marked out of 100 Select one: a. True b. False Flag question QUESTION 35 Netwered One method used to monitor the collection of account receivable is ageing list of debtors Marked out of 100 Select one: a. True Griestion b. False The following is (are) the limitation of Economic Order Quantity assumption(s). QUESTION 36 Not yet answered Marked out of 1.00 Flag question Select one: o a. It assumes that the storage space is unlimited b. Prices of materials change throughout the year c. All of the above d. Demand may vary throughout the year QUESTION 38 If a firm uses an aggressive financial strategy, Not yet answered Marked out of 1.00 Flag Select one: a. It increases return and increases risk o b. it reduces retum and reduces risk c. it increases return and reduces risk O d. it reduces return and increases risk question Which of the following is not true regarding the use of short-term debt? QUESTION 39 Not yet answered Marked out of 100 Flag question Select one: oa. There is uncertainty connected with interest costs on short-term debt from year to year. b. The firm is subject to greater liquidity risk when using short-term credit. c. It must be rolled over more often than long-term debt. d. Interest rates are usually higher on short-term debt