A firm buys on terms of 3/15, net 45. It does not take the discount, and it generally pays after 85 days. What is the nominal annual percentage cost of its non-free trade credit, based on a 365-day year?

A. 17.58%
B. 15.00%
C. 18.55%
D. 16.13%
E. 13.22%


Answer: D

Business

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