On average how much free trade credit does the firm receive


Safety Window and Door Co. buys on terms of 2/15, net 60 days. It does not take discounts, and it typically pays on time, 60 days after the invoice date. Net purchases amount to $450,000 per year. On average, how much "free" trade credit does the firm receive during the year? (Assume a 365-day year, and note that purchases are net of discounts.)

Request for Solution File

Ask an Expert for Answer!!
Financial Management: On average how much free trade credit does the firm receive
Reference No:- TGS02860156

Expected delivery within 24 Hours