Tivo Corporation purchases its raw materials on credit with terms of 3/10, net 30. What is the annual percentage rate (APR) of non-free trade credit if Tivo does not take the discount and pays on Day 30. In your computations, assume there are 360 days in a year.

A. 54.00%
B. 27.84%
C. 37.11%
D. 55.67%
E. 111.34%


Answer: D

Business

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