Roton Inc.purchases merchandise on terms of 2/15,net 40,and its gross purchases (i.e. ,purchases before taking off the discount) are $675,000 per year.What is the maximum dollar amount of costly trade credit the firm could get,assuming it abides by the supplier's credit terms? (Assume a 365-day year. ) Do not round intermediate calculations.
A) $41,684
B) $51,198
C) $48,027
D) $38,965
E) $45,308
Correct Answer:
Verified
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