b$)$ Gemilang Limited make their purchase under the term $\frac{2}{10}$ net $30.$

If Gemilang Limited foregoes the discount and pays for its purchase according to

the terms of its trade credit, calculate the effective cost of using this source of

credit.

$(3$ Marks$)$

ii$)$ In case Gemilang Limited forgoes the discount but does not pay for its purchases

until day $30,$ calculate the effective cost of using this source of credit without

penalty.

$(2$ Marks$)$

$($Total: $25$ Marks$)$