As the manager of Oaks Mall Jewelry, you want to sell on credit, giving customers 3 months in which to pay. However, you will have to borrow from the bank to carry the accounts receivable. The bank will charge a nominal 15 percent, but with monthly compounding.

You want to quote a nominal rate to your customers (all of whom are expected to pay on time) that will exactly cover your financing costs. What nominal annual rate should you quote to your credit customers?