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Your firm is offered credit terms of 3/20, net 55. What is the effective annual interest rate on this arrangement? Assume 365 days per year.
Your firm is offered credit terms of 3/20, net 55. What is the effective annual interest rate on this arrangement? Assume 365 days per year.
Multiple Choice
31.29%
39.72%
37.39%
29.72%
28.16%
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Financial Econometrics
Authors: Peijie Wang
1st Edition
0415426693, 978-0415426695
