What is the nominal cost of its nonfree trade credit

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Problem 1: If a firm buys under terms of 1/15, net 35, but actually pays on the 20th day and still takes the discount, what is the nominal cost of its nonfree trade credit? Assume 365 days in year for your calculations. Do not round intermediate calculations. Round your answer to two decimal places.

Reference no: EM132708394

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