Can someone help me Please! Unit 15

wayne
wayne Registered Posts: 1 New contributor 🐸
in Off-topic
Average customer invoice is 1000 pound and normal terms of trade are 60 days from invoice date.The company is giving a 2.5% discount for payment within 14 days
Calculate ANNUAL PERCENTAGE COST for the discount below (you need to take account of compound interest)
Thanks

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  • Rachey
    Rachey Registered Posts: 585 Epic contributor 🐘
    wayne wrote: »
    Average customer invoice is 1000 pound and normal terms of trade are 60 days from invoice date.The company is giving a 2.5% discount for payment within 14 days
    Calculate ANNUAL PERCENTAGE COST for the discount below (you need to take account of compound interest)
    Thanks

    There's a huge formula on this in the kaplan book. Its too lengthy to remember off the top of my head. Is that the question from the simulation? I had that one too.
  • CJC
    CJC Registered Posts: 1,589 Beyond epic contributor 🧙‍♂️
    Wayne,there are several threads about this in the Technician/Diploma forum and while they may have generated more heat than light you might find them useful.

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