You place an order for 370 units of inventory at a unit price of $140. The supplier offers terms of 3/10, net 90. (Do not round intermediate calculations.) a-1 How long do you have to pay before the account is overdue? Days until overdue days a-2 If you take the full period, how much should you remit? Remittance $ b-1 What is the discount being offered? (Enter your answer as a percent.) Discount offered % b-2 How quickly must you pay to get the discount? Number of days days b-3 If you do take the discount, how much should you remit? Remittance $ c-1 If you don't take the discount, how much interest are you paying implicitly? Implicit interest $ c-2 How many days' credit are you receiving? Days' credit days ← Prev 6 of 7 ▦ Nex

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Business

Derick Wells

10 May, 19:18

You place an order for 370 units of inventory at a unit price of $140. The supplier offers terms of 3/10, net 90. (Do not round intermediate calculations.) a-1 How long do you have to pay before the account is overdue? Days until overdue days a-2 If you take the full period, how much should you remit? Remittance $ b-1 What is the discount being offered? (Enter your answer as a percent.) Discount offered % b-2 How quickly must you pay to get the discount? Number of days days b-3 If you do take the discount, how much should you remit? Remittance $ c-1 If you don't take the discount, how much interest are you paying implicitly? Implicit interest $ c-2 How many days' credit are you receiving? Days' credit days ← Prev 6 of 7 ▦ Nex

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Kylan Hooper · Answer 1

How long do you have to pay before the account is overdue?

90 Days.

If you take the full period, how much should you remit?

$51,800

What is the discount being offered?

3%

How quickly must you pay to get the discount?

10 days

If you do take the discount, how much should you remit?

$50,246

If you don't take the discount, how much interest are you paying implicitly?

3,093%, the annualized interest are 13,92%.

How many days' credit are you receiving?

90 days

Explanation:

How long do you have to pay before the account is overdue?

90 Days, this information is where it says, "net 90"

If you take the full period, how much should you remit?

The full amount of the purchases without discount it's $51,800

What is the discount being offered?

The discount offered by the supplier it's detailed here 3/10, which means the client has a 3% of discount if it pays between the next 10 days.

How quickly must you pay to get the discount?

The days offered by the supplier it's detailed here 3/10, it means the client has 10 days to obtain the discount if not will have to pay full price.

If you do take the discount, how much should you remit?

As it was said before the client had 10 days to obtain 3% of discount, it will have to pay $50,246

If you don't take the discount, how much interest are you paying implicitly?

The interest implicit is similar to the discount offered, but a little more 3,093%, the annualized interest are 13,92%.

How many days' credit are you receiving?

The client has 90 days to pay the invoice, at the 90 days it's when the client has to pay the invoice and put the money.