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As manager ofFly-by-Night Airlines, you decide to allow customers 90 90 days to pay their bills. To encourage earlypayment, though, you allow them to reduce

As manager ofFly-by-Night Airlines, you decide to allow customers 90

90 days to pay their bills. To encourage earlypayment, though, you allow them to reduce their bills by 1.9

1.9% if they pay within the first 56

56 days. At what implied effective annual interest rate are you loaning money to yourcustomers? What if you extend the discount to 68

68 days and allow full payment up to 180

180 days

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