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Review problem related to discount

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Reference no: EM131765579

Question: A company that forgoes the discount when credit terms are 2/10 net 60 due to insufficient cash flow would be better off to borrow funds and take the discount as long the company could borrow the funds at any rate

a. less than 16.33%.

b. less than 15.47%.

c. less than 14.69%.

d. less than 12.00%.

Reference no: EM131765579

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