[sdasilva391]

You are the accountant for the leahter city, a retail furniture store. Recently, an order of sofas and chairs was received from a manufacturer with terms of 3/15, n/45. The order amounted to @230,000. They do not have sufficient cash on hand to take advantage of the discount. Leather city can borrow the money at 13% interest.


Would it be worthwhile to borrow money for 30 days in order to pay the bill within the discount period?why ?be specific. Justify your in terms of dollars.