Answer:
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.
