Howes inc purchases 4562500 in goods per year from its sole


Howes Inc. purchases $4,562,500 in goods per year from its sole supplier on terms of 3/14, net 54. If the firm chooses to pay on time but does not take the discount, what is the effective annual percentage cost of its non-free trade credit? (Assume a 365-day year.) (Note: Write your answer in percentage format; i.e., write 1% instead of 0.01.)

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Financial Management: Howes inc purchases 4562500 in goods per year from its sole
Reference No:- TGS01128073

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