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Annual credit sales of Nadak Co total $363.3 million. The firm gives a 1.75% cash discount for payment within 10 days of the invoice date:

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Annual credit sales of Nadak Co total $363.3 million. The firm gives a 1.75% cash discount for payment within 10 days of the invoice date: 85% of Nadak's accounts receivable are paid within the discount period. Required: a. What is the total amount of cash discounts allowed in a year? (Enter your answer in millions rounded to 2 decimal places.) Total amount million b. Calculate the approximate annual rate of return on investment that Nadak Co.'s cash discount terms represent to customers who take the discount. (Assume a credit period of 30 days and 360 days year). (Round intermediate calculations to 2 decimal places. Enter your answer as a percentage rounded to 1 decimal place (ie, 32.1).) ROI %

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