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Firdavs [7]
3 years ago
14

A business buys on terms of 2/10, net 30. It does not take discounts, and it typically pays 45 days after the invoice date. What

is the nominal annual percentage cost of its non-free trade credit, based on a 365-day year?
Business
1 answer:
tamaranim1 [39]3 years ago
3 0

Answer:

21.28%

Explanation:

Nominal annual percentage = Discount/(100-discount) * 365/(Days paid after purchase - Days of discount period)

Nominal annual percentage = 2/(100-2) *365/(45-10)

Nominal annual percentage = 2/98 * 365/35

Nominal annual percentage = 0.02041 * 10.4286

Nominal annual percentage = 0.212847726

Nominal annual percentage = 21.28%

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8 0
2 years ago
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Answer:

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The government also owns means of production.

I hope my answer helps you

8 0
4 years ago
Why might a customer prefer a discount over a sweepstake?
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