A seller has offered credit terms of 2/5 net 60 to a customer that has agreed to immediately purchase 200 units at a sal
Posted: Fri Jul 01, 2022 7:51 am
A seller has offered credit terms of 2/5 net 60 to a customerthat has agreed to immediately purchase 200 units at a sales priceper unit of $100. Variable costs are $65 per unit and involve animmediate cash outflow. The seller has an annual opportunity costrate of 7.3%. Based on this information, what is the present valueof the net cash flows associated with the cash discount terms?Select one:
a. $6,580.42
b. $6,600.00
c. $13,000.00
d. $619,600.00
a. $6,580.42
b. $6,600.00
c. $13,000.00
d. $619,600.00