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Rogue Spices Inc

question 43

Multiple Choice

Rogue Spices Inc. has a Canadian receivables contract for $200,000 due in 270 days. The firm has been approached by a factoring firm that offers to purchase the receivables at a 12% per annum discount plus a 1% charge for a nonrecourse clause. What is the annualized percentage all-in-cost of this factoring alternative?


Definitions:

Poly-A Tail

A stretch of adenine nucleotides added to the 3' end of mRNA molecules in eukaryotic cells, aiding in stability and export from the nucleus.

mRNA

Messenger RNA, a type of RNA that conveys genetic information from DNA to the ribosome, where it specifies the amino acid sequence of the protein product.

Transcription

The process by which the information in a strand of DNA is copied into a new molecule of messenger RNA (mRNA).

Codon

Three-base sequence in messenger RNA that during translation directs the addition of a particular amino acid into a protein or directs termination of the process.

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