User Account

All Pages

What is the retailer effective cost of trade credit

Assignment Help Finance Basics
Reference no: EM133059914

Cost of Trade Credit

A large retailer obtains merchandise under the credit terms of 3/10, net 45, but routinely takes 55 days to pay its bills. (Because the retailer is an important customer, suppliers allow the firm to stretch its credit terms.) What is the retailer's effective cost of trade credit? Assume a 365-day year. Do not round intermediate calculations. Round your answer to two decimal places.

Reference no: EM133059914

Questions Cloud

Calculate the equity holder after-tax : ii) Calculate the equity holder's after-tax required rate of return for both firms.
IIBM7005 International Marketing Assignment : IIBM7005 International Marketing Assignment Help and Solution, University of Wales Trinity Saint David - Assessment Writing Service
What is the annual interest tax shield generated : a) What is the annual interest tax shield generated by this debt?
What is biggest challenge in terms of expenses : 1. Calculate how much food you are wasting in your home. Statistically, each resident in UAE is wasting annually approximately 197 kg of food.
What is the retailer effective cost of trade credit : What is the retailer's effective cost of trade credit? Assume a 365-day year. Do not round intermediate calculations. Round your answer to two decimal places.
Estimate expected spot rate of singapore dollars : The spot rate of the S3 is $0.50, and the Singapore and US interest rates are 4% and 6% per annum respectively. Assume that 360 days in a year. 3.
What is the opportunity cost of the machine : Required - What is the opportunity cost of the machine when we analyze the alternative to produce 12 oz. bottles of juice? cocktails
Advantages-disadvantages of renting or buying property : Marvin is currently renting and has saved up what he considers a sufficient home deposit. Outline the various advantages and disadvantages of renting or buying
Calculate the market value of irsdb11 swap : Assume that the following swap instruments are available. The applicable interest rate for the floating side of the swap is 5.02%. Today is March 15, 2002 and t

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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