What is the nominal annual cost of non-free trade
Problem:
A firm buys on terms of 3/15, net 45 days. It does not take the discount, and it generally pays after 65 days. What is the nominal annual cost of its non-free trade credit, based on a 365-day year?
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A) Journalize the petty cash transactions. B) Post to the petty cash account.
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It does not take the discount, and it generally pays after 65 days. What is the nominal annual cost of its non-free trade credit, based on a 365-day year?
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