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Question
Newsome Inc. buys on terms of 3/15, net 45. It does not take the discount, and it generally pays after 60 days. What is the nominal annual percentage cost of its non-free trade credit, based on a 365-day year?a. 25.09%
b. 27.59%
c. 30.35%
d. 33.39%
e. 36.73%
Answer
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