<span>All financial institutions </span>
Answer:
21.28%
Explanation:
Note: <em>Assuming 365 day year</em>
Cost of giving up cash discount = [Discount rate / (1-Discount rate)] * 365 / [Credit period - Discount period]
Cost of giving up cash discount = [0.02/(1-0.02)] * [365/(45-10)]
Cost of giving up cash discount = [0.02/0.98] * [365/35]
Cost of giving up cash discount = 0.0204082 * 10.42857
Cost of giving up cash discount = 0.212828
Cost of giving up cash discount = 21.28%
The answer is A) hope this helps!
Even if we’re the almoneda s Turks is