3. A customer just placed a $70 purchase order. To facilitate the sale, you must purchase $30 in inventory from a supplier. The invoice for the inventory is 20 days. Assuming an interest rate of 3.65%, and the timing of the collection of cash from the customer is delayed by 70 days, the net present value of the cash flows associated with the credit sale is closest to: a. $38.48 b. $39.57 c. $40.00 d. $69.51 4. Calculate the decrease in interest expense that would occur if the working capital requirement dropped from $10,000 to $6,000 assuming a borrowing rate of 5%. a. $200 b. $300 C. $400 d. $500 3. A customer just placed a $70 purchase order. To facilitate the sale, you must purchase $30 in inventory from a supplier. The invoice for the inventory is 20 days. Assuming an interest rate of 3.65%, and the timing of the collection of cash from the customer is delayed by 70 days, the net present value of the cash flows associated with the credit sale is closest to: a. $38.48 b. $39.57 c. $40.00 d. $69.51 4. Calculate the decrease in interest expense that would occur if the working capital requirement dropped from $10,000 to $6,000 assuming a borrowing rate of 5%. a. $200 b. $300 C. $400 d. $500