Which One of the Following Statements Is Correct If You

question 40

Multiple Choice

Which one of the following statements is correct if you purchase an item with credit terms of 1/5,net 15?

• A)If you pay within 1 day, you will receive a 5 percent discount.
• B)If you pay within 5 days, you will receive a 1 percent discount.
• C)If you do not pay within 15 days, you will be charged interest at a 1.5 percent monthly rate.
• D)If you pay within 15 days, you will receive a 1/5^th percent discount.
• E)You must pay the discounted amount within 15 days.

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Definitions:

Sherman Antitrust Act

A United States antitrust law passed in 1890 aimed at preventing monopolies and promoting competition in business.

Restrain Trade

Actions or policies that limit or reduce competition in a market, often deemed illegal or unethical.

Dominant Strategy

A strategy in game theory that is the best choice for a player, regardless of what the opponents might do.

Prisoners' Dilemma

A concept in game theory where two individuals acting in their own self-interest do not produce the optimal outcome, showcasing the conflict between personal and collective rationality.