Virginia Supply offers their customers trade credit with terms 2/15 net 30. This implies that:
A) Virginia's customers have very little incentive to pay within the discount period.
B) paying within 30 days will let a customer deduct 15% off the invoice price.
C) most customers will pay their bill within 2 days in order to take the maximum discount.
D) the annual financing cost of failing to pay within 15 days is about 48%.
Correct Answer:
Verified
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