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    What Is the Effective Annual Cost of Credit Terms of 3/15
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What Is the Effective Annual Cost of Credit Terms of 3/15

Question 88

Question 88

Multiple Choice

What is the effective annual cost of credit terms of 3/15 net 30, if the firm stretches the accounts payable to 60 days?


A) 1.7%
B) 3.35%
C) 12.65%
D) 28.03%

Correct Answer:

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