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Barbara Kardashian is a new accountant with Flint Discount Retail Company. Flint purchased merchandise on...

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Accounting

Barbara Kardashian is a new accountant with Flint Discount Retail Company. Flint purchased merchandise on account for $ $9, 000 .$ The credit terms are $\frac{1}{10} \frac{n}{30} .$ Barbara has talked with the compary's banker and knows that she could eam $10 %$ on any money invested in the compary's savinge account.

$($ a $)$

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Should Barbara pay the invoice within the discount period or should she keep the $ $9, 000$ in the savings account and pay at the end of the credit period? $($ Use $360$ days for calculation $)$

Barbara take the discount as it will result in ofs

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Attempts: $1$ of $1$ used

$($ b $)$

If Barbara forgoes the discount, it may be viewed as paying an interest rate of $18$ for the use of $ $9.000$ far $20$ days.

Calculate the annual rate of interest that this is equivalent to $. ($ Round answer to $0$ decimol ploces, es: $25 % .$ Use $360$ days for calculation. $)$

Equivalent annual interest rate is

$%$

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