Cash discount versus loan Joanne Germano works in an accounts payable department of a major rotator. She has attempted to convince her boss to take the discount on the 3/15 net 60 credit terms most suppliers offer, but her boss argues that giving up the 3% discount is less costly than a short-term loan at 7%. Prove to whoever is wrong that the other is correct. (Note: Assume a 365-day year.) The cost of giving up the cash discount is %. (Round to two decimal places.)