(5A) Snider Industries sells on terms of 2/10, net 35. Total sales for the year are $700,000. Thirty percent of customers pay on the 10 th day and take discounts; the other 70% pay, on average, 40 days after their purchases. Assume a 365 -day year. a. What is the days sales outstanding? Do not round intermediate calculations. Round your answer to the nearest whole number. days b. What is the average amount of receivables? Do not round intermediate calculations. Round your answer to the nearest dollar. c. What would the new days sales outstanding and average receivables be if Snider toughened its collection policy with the result that all no discount customers paid on the 35 th day? Do not round intermediate calculations. Round your answer for the new days sales outstanding to one decimal place and for the average receivables to the nearest dollar. DSO: days Average receivables: $ (5B) The D.J. Masson Corporation needs to raise $500,000 for 1 year to supply working capital to a new store. Masson buys from its suppliers on terms of 2/10, net 70 , and it currently pays on the 10 th day and takes discounts. However, it could forgo the discounts, pay on the 70th day, and thereby obtain the needed $500,000 in the form of costly trade credit. What is the effective annual interest rate of this trade credit? Assume a 365-day year. Do not round intermediate calculations. Round your answer to two decimal places. %