Arnold Inc

question 125

Multiple Choice

Arnold Inc.purchases merchandise on terms of 2/10 net 30, and it always pays on the 30th day.The CFO calculates that the average amount of costly trade credit carried is $375,000.What is the firm's average accounts payable balance? (Assume a 365-day year.)

• A) $458,160
• B) $482,273
• C) $507,656
• D) $534,375
• E) $562,500

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Definitions:

Chronic Renal Failure

A long-term kidney condition where the kidneys progressively lose their ability to function properly.

"Uremic" Breath

A specific type of bad breath associated with the accumulation of urea in the blood, typically indicative of kidney failure.

Renal Transplantation

A surgical procedure to replace a diseased kidney with a healthy kidney from a donor.

Preferred Means

Typically refers to the most favored or desirable method, tool, or approach to achieve a goal or fulfill a need.