9. Andersen Sports (A). Andersen Sports (Andersen) is considering bidding to sell $100,000 of ski equip- ment to Kim Family Enterprises of Seoul, Korea. Payment would be due in six months. Since Andersen cannot find good credit information on Kim, Andersen wants to protect its credit risk. It is considering the following financing solution. Kim's bank issues a letter of credit on behalf of Kim and agrees to accept Andersen's draft for $100,000 due in six months. The acceptance fee would cost Andersen $500, plus reduce Kim's avail- able credit line by $100,000. The bankers' acceptance note of $100,000 would be sold at a 2% per annum discount in the money market. What is the annual- ized percentage all-in-cost to Andersen of this bankers' acceptance financing?