Multiple Choice
company has been offered credit terms of 4/30, net 90 days.What will be the nominal annual percentage cost of its non-free trade credit if it pays 120 days after the purchase? (Assume a 365-day year.)
A) 16.05%
B) 16.90%
C) 17.74%
D) 18.63%
E) 19.56%
Correct Answer:
Verified
Correct Answer:
Verified
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