A Firm Buys on Terms of 3/10, Net 30

question 105

Multiple Choice

A firm buys on terms of 3/10, net 30. What is the cost of trade credit under these terms?

• A) 55.7%
• B) 47.4%
• C) 31.5%
• D) 23.2%

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Definitions:

Red Blood Cell

Cells in the blood that carry oxygen from the lungs to the rest of the body and return carbon dioxide for expulsion.

Evaporation Process

The transformation of a liquid into vapor or gas, typically involving heat absorption.

Burned Areas

Damaged tissue caused by exposure to heat, chemicals, electricity, radiation, or sunlight.

Rate of Diffusion

Rate of Diffusion refers to how quickly molecules spread from areas of high concentration to areas of low concentration, influenced by temperature, pressure, and the medium.