User Account

All Pages

What is the annual cost of not taking the cash discount

Assignment Help Accounting Basics
Reference no: EM133169546

Question - Royal Distributors has an ongoing offer of paying for purchases with a credit term of 2/10, net 45. The owner never took that credit and always paid in 40 days so that she is sure that the payments are never late.

Required -

A) What is the annual cost of not taking the cash discount.

B) If annual purchases total $9.21 million, what is the additional financing available by foregoing the cash discount.

Reference no: EM133169546

Questions Cloud

Which option should julian accept : Julian Baron has written a gaming software and wants to sell all the rights to a gaming company. Which option should Julian accept
Determine the total amount of education related tax credits : Grace Bucknell attends university on a full time basis. For the last 6 months of the year, Determine the total amount of education related tax credits
Make the entry to record sales taxes payable and sales : The register total for March 16 is $16,960. All sales are subject to a 6% sales tax. Make the entry to record sales taxes payable and sales
What might be the factor that abc wants : What might be the factor that ABC wants an early termination for this piece of equipment? The termination option costs 10% of the value of the 7 year lease
What is the annual cost of not taking the cash discount : Royal Distributors has an ongoing offer of paying for purchases with a credit term of 2/10, net 45. What is the annual cost of not taking the cash discount
Prepare the required journal entry : The company sells its dishwashers for $10,000 and garbage disposals for $6,080 each. Prepare the required journal entry
What total operating cost would you expect to be incurred : If a truck were driven 64,000 kilometres during a year, what total operating cost would you expect to be incurred
What is the total cost incurred by remington : Remington Textiles has a mill that produces three types of fabrics on a make-to-order basis. What is the total cost incurred by Remington
Compute the return on assets ratio for fiscal year : Mazy's fiscal years for 2015 and 2014 end on January 30, 2016, and January 31, 2015, respectively. Compute the return on assets ratio for fiscal year

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd