Chris Angle can borrow from its bank at 17 percent to take a cash discount. The terms of the cash discount are 1.5/13 net 55.

a. Compute the cost of not taking the cash discount. (Use 365 days in a year. Round intermediate calculations to 4 decimal places. Round the final answer to 2 decimal places.)

Cost of not taking a cash discount

%

b. Should Chris borrow the funds?

multiple choice

Yes

No