Andrews Corporation buys on terms of 2/8, net 45 days, it does not take discounts, and it actually pays after 58 days. What is the effective annual percentage cost of its non-free trade credit? (Use a 365-day year.)
A. 14.34%
B. 15.10%
C. 15.89%
D. 16.69%
E. 17.52%
Answer: C
You might also like to view...
Current accounts receivables are receivables that are expected to be collected within
A) one year or the current financing cycle, whichever is longer. B) one year or the current financing cycle, whichever is shorter. C) one year or the current operating cycle, whichever is longer. D) one year or the current operating cycle, whichever is shorter.
One of the advantages of the person-administered survey is that the interviewer is able to respond to questions asked by respondents
Indicate whether the statement is true or false
Marketing activities should begin with potential customer needs, not with the production process.
Answer the following statement true (T) or false (F)
The (higher) price paid by a buyer for substitute goods in the event of a breach by a seller is called:
a. consequential damages b. incidental damages c. expectancy damages d. cover e. none of the other choices