4. Cost of trade credit Firms usually offer their customers some form of trade credit. This allowance comes with certain terms of credit, which will affect the actual cost of asset being sold for the buyer and the seller. Consider this case: Tasty Tuna Corporation buys most of its raw materials from a single supplier. This supplier sells to Tasty Tuna on terms of 2/20, net 60. The cost per period of the trade credit extended to Tasty Tuna is your final answer to two decimal places.). (Note: Round all intermediate calculations to four decimal places, and Tasty Tuna's trade credit has a nominal annual cost of decimal places, and your final answer to two decimal places.) , assuming a 365-day year. (Note: Round all intermediate calculations to four If Tasty Tuna Corporation's supplier shortens its discount period to five days, this will the cost of the trade credit. Grade It Now Save & Continue