Dream Cakes bought some baking ingredients costing $12,500 on credit. The credit terms are 2.5/5 net 30
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Dream Cakes bought some baking ingredients costing $12,500 on credit. The credit terms are 2.5/5 net 30 EOM. If Dream Cakes pays the invoice within 5 days after the purchase, how much should it pay? What is the approximate cost of giving up the discount, when it pays 30 days after the invoice date?
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The credit terms of 255 net 30 EOM mean that if Dream Cakes pays the invoice within 5 days after the ...View the full answer
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Related Book For 
Principles Of Managerial Finance Brief
ISBN: 9781292267142
8th Global Edition
Authors: Chad J. Zutter, Scott B. Smart
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