P Manufactering has four possible suppliers all of which offer different credit terms but their products and services are virtually identical.

Supplier J 1/5 net 30 EOM

Supplier K 2/20 net 80 EOM

Supplier L 1/15 net 60 EOM

M 3/10 net 90 EOM

b) if the firm needs short-term funds, which are currently available from its commercial bank at 9%, and if each of the suppliers is viewed sepperately, which, if any, of the suppliers' cash discounts should the firm give up? Explain why

c) Now assume that the firm could stretch by 30 days its accounts payable (net period only) from supplier M. What impact, if any, would that have on your answer in part b relative to this supplier.