Newsome Inc. buys on terms of 3/15, net 45. It does not take the discount, and it generally pays after 60 days. What is the nominal annual percentage cost of its non-free trade credit, based on a 365-day year?

A. 25.09%
B. 27.59%
C. 30.35%
D. 33.39%
E. 36.73%


Answer: A

Business

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