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Nakatomi Toyota 3. NakatomiToyota buys its cars from Toyota Motors-USA, and sells them to U.S. customers. One of its customers is EcoHire, a car rental
Nakatomi Toyota 3. NakatomiToyota buys its cars from Toyota Motors-USA, and sells them to U.S. customers. One of its customers is EcoHire, a car rental firm which buys cars from Nakatomi Toyota at a wholesale price. Final payment is due to Nakatomi Toyota in 6 months. Eco Hire has bought $200,000 worth of cars from Nakatomi, with a cash down payment of $40,000 and the balance due in 6 months without any interest charged as a sales incentive. Nakatomi Toyota will have the EcoHire receivable accepted by Alliance Acceptance for a 2% fee, and then sell it at a 3% per annum discount to Wells Fargo Bank. a. What is the annualized percentage all-in-cost to Nakatomi Toyota? b. What are Nakatomi's net cash proceeds, including the cash down payment
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