Waec Model Questions Vol1 2023 Commerce Question 33
Practice objective / multiple choice question 33 from the 2023 Waec Model Questions Vol1 Commerce examination.
A buyer receives an invoice for goods with the following details: 150 units priced at ₦2,500 each; a trade discount of 12%; freight charges of ₦8,000; VAT of 5% applied after discount and freight; and a cash discount of 2% if payment is made within 10 days (full amount due in 30 days). (a) Calculate the amount payable if the buyer pays within the cash‑discount period. (b) Assuming the buyer's cost of capital is 12% per annum (simple interest), compute the effective annual interest rate earned by taking the cash discount instead of paying after 30 days.
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About This Question
This is Waec Model Questions Vol1 2023 Commerce Question 33. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Commerce examination.
Difficulty level: Hard .
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