A Company Purchased Merchandise Inventory at a Cost of $8,500

question 143

Multiple Choice

A company purchased merchandise inventory at a cost of $8,500 with credit terms 2/10,net 60.If the company borrows $8,330 to pay for the purchase on the last day of the discount period and pays the loan plus interest in the amount of $8,466.93 on the last day of the credit period,what is interest rate for borrowing money from the bank?

• A)12%
• B)13.5%
• C)11.5%
• D)16%
• E)Can't be determined from the information given

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Definitions:

Tasks

Specific activities or assignments given to individuals to perform, which can vary in nature depending on the context.

Sequencing Content

Organizing information or educational material in a logical or meaningful order to facilitate learning or understanding.

Manufacture Products

The process of converting raw materials, components, or parts into finished goods that meet a customer's expectations or specifications.

Instructional Approach

A method or strategy used in teaching to facilitate learning and improve students' understanding and skills.