Blake factoring Blake Factoring Company purchased $200,000 of accountsreceivable from Smith Manufacturing for $185,000. Thereceivables were to be collected within 60 days. After 75 days,Blake was able to collect $192,000 of the receivables. What wasBlake Factoring Company's annualized rate of return on thisinvestment?

Step 1: Given Value for Calculation Purchase Price = p = $185,000Number of days = n = 75 daysAmount…

Answered: Blake Factoring Company purchased…

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter22: Providing And Obtaining Credit

Section: Chapter Questions

Problem 2MC

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