AFP
CTP · Question #656
(Topic 7) The seller's cost of capital is 12%. The average credit sale is $200,000, and the credit terms are 2/10, net 30. What is the seller's net benefit (loss) if the buyer takes the discount and…
The correct answer is D. ($2,688.93). See the full explanation below for the reasoning.
Question
- (Topic 7)
The seller’s cost of capital is 12%. The average credit sale is $200,000, and the credit terms are 2/10, net 30. What is the seller’s net benefit (loss) if the buyer takes the discount and pays by day 10?
Options
- A$3,986.89
- B($3,986.89)
- C$2,688.93
- D($2,688.93)
How the community answered
(58 responses)- A9% (5)
- B3% (2)
- C10% (6)
- D78% (45)
Community Discussion
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