Annual credit sales of Nadak Company total $329.9 million. The firm gives a 2.25% cash discount for payment within 10 days of the invoice date; 80% of Nadak's accounts receivable are paid within the discount period.

Required: What is the total amount of cash discounts allowed in a year? Calculate the approximate annual rate of return on investment that Nadak Companys cash discount terms represent to customers who take the discount. (Assume a credit period of 30 days and 360-days year).

a) Total Amount ______ Million

b) ROI ______%