7. Problem 21-16 (Trade Credit) eBook Trade Credit The Thompson Corporation projects an increase in sales from $2.5 million to $3 million, but it needs an additional $200,000 of current assets to support this expansion. Thompson can finance the expansion by no longer taking discounts, thus increasing accounts payable. Thompson purchases under terms of 3/10, net 30, but it can delay payment for an additional 30 days - paying in 60 days and thus becoming 30 days past due - without a penalty because its suppliers currently have excess capacity. What is the effective, or equivalent, annual cost of the trade credit? Assume a 365-day year. Do not round intermediate calculations. Round your answer to two decimal places. %