Question: Millbridge Hospital buys its supplies in bulk and has recently
Millbridge Hospital buys its supplies in bulk and has recently switched vendors. The first purchase Millbridge made was for 500 boxes of gauze at $3.46 a box. The purchase had payment terms of 2/15 N/30. Millbridge earns 4 percent on its idle cash. Should it take the discount or not? Justify your answer by showing calculations.
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