1) You currently buy from a supplier but are being pursued by their competitor. Complete the following chart. Assume: $550,000 invoice amount Options are to pay (1) the last day of discount period, (2) the last day of credit period, or (3) 15 days late. Existing Supplier Alternative Supplier 1.75/10, net 60 Terms 2/5, net 45 Sales Amount Discount Period (DP) Credit Period (CP) Cash Discount Rate (d) Annual Investment Opportunity Rate() 6% 696 Annual Borrowing Rate() 4% Late Payment Fee (eu) 18.0% NA Day for Late Payment Model Discount Model (woice Price X1-2)/(1 + (Daya) (6/365)] Credit Period Model Invoice Price]/[1 + (Days)(1/365) Late Payment Model [(Invoice Price X(1 +(Days-CP/five/365)]/[1 + Days.c/365) A Based on NPV, when should you pay your current supplier? The proposed supplier? Explain why B. If you choose to do business with only one of these suppliers, which one would you choose? Explain why