Mr. Paul Promptly is a very cautious businessman. His supplier offers
trade credit terms of 3/10, net 70. Mr. Promptly never takes the
discount offered, but he pays his suppliers in 60 days rather than the
70 days allowed so he is sure the payments are never late. What is Mr.
Promptly’s cost of not taking the cash discount?
Click here for the solution: Mr. Paul Promptly is a very cautious businessman
