Assume the credit terms offered to your firm by your suppliers are 4 / 2 0 ,

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Question:

Assume the credit terms offered to your firm by your suppliers are

4 / 20,

net

45 .

Calculate the cost of the trade credit if your firm does not take the discount and pays on day

45 . (

Hint: Use a

365 -

day year.

)

Question content area bottom

Part

1

The cost of trade credit is

enter your response here

% . (

Rounded to two decimal

places.

)

Posted Date: May 13, 2024 03:32 AM

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Assume the credit terms offered to your firm by your suppliers are 4 / 2 0 ,

Question:

Expert Answer:

To calculate the cost of trade credit we can use the formula Cost of T... View the full answer

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