Find nominal and effective costs of trade credit


Grunewald Industries sells on given terms of 2/10, net 40. Gross sales last year were given as $4,562,500 and accounts receivable averaged $437,500. Half of Grunewald's customers paid on 10th day and took discounts. Find nominal and effective costs of trade credit to Grunewald's nondiscount customers?

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Mathematics: Find nominal and effective costs of trade credit
Reference No:- TGS0867907

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