Sarah Just Received an Invoice for $12,000 with Terms of 2/10

question 51

Multiple Choice

Sarah just received an invoice for $12,000 with terms of 2/10, n/30. The invoice date was June 1. Her contract with the vendor indicates a charge of 1.5 percent per month on late payments. If Sarah pays this bill on June 30, she will pay effective annual interest on this account of approximately

• A) 24%.
• B) 18%.
• C) 36.7%.
• D) 30%.

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Definitions:

Mammillary Bodies

Small rounded bodies at the base of the brain, part of the limbic system, involved in memory formation and recollection.

Hypothalamic Function

The roles performed by the hypothalamus, which include regulating temperature, thirst, hunger, sleep, circadian rhythm, and releasing hormones.

Sexual Pleasure

A state of physical and psychological enjoyment and satisfaction derived from sexual activity.

Road Rage

Aggressive or angry behavior exhibited by motorists, including speeding, yelling, or gestures, often triggered by traffic incidents.