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A firm offers terms of 2/15, net 45. (Enter your answers as directed, but do not round intermediate calculations.) Requirement 1: What effective annual interest

A firm offers terms of 2/15, net 45. (Enter your answers as directed, but do not round intermediate calculations.)

Requirement 1:

What effective annual interest rate does the firm earn when a customer does not take the discount? (Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Effective annual interest rate %
Requirement 2:

What effective annual interest rate does the firm earn if the discount is changed to 3 percent? (Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Effective annual interest rate %
Requirement 3:

What effective annual interest rate does the firm earn if the credit period is increased to 65 days? (Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Effective annual interest rate %
Requirement 4:

What effective annual interest rate does the firm earn if the discount period is increased to 20 days? (Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Effective annual interest rate %

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