In buying a computer disk, the buyer was offered the options of paying P250 cash at the end of 30 days or P270 at the end of 120 days. At what rate is the buyer paying simple interest if he agree to pay at the end of 120 days? 28% O 32% O 40% O 25%

In buying a computer disk, the buyer was offered the options of paying P250 cash at the end of 30 days or P270 at the end of 120 days. At what rate is the buyer paying simple interest if he agree to pay at the end of 120 days? 28% O 32% O 40% O 25%

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Concept explainers

Financial Statements

Financial statements (or financial reports) are the formal records of the financial activities that are undertaken by a firm. They are convenient instruments used for analyzing a company’s financial position and performance. Financial ratios are created with the help of the numerical values that are derived from the financial statements. They give meaningful information about the financial performance of the company.

Question

In buying a computer disk, the buyer was offered the options of paying P250
cash at the end of 30 days or P270 at the end of 120 days. At what rate is the
buyer paying simple interest if he agree to pay at the end of 120 days?
O 28%
O 32%
O 40%
O 25%

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