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P&G extended its payment term to 105 days (from 60 days) while launching its Supply Chain Finance program. City Group offered Fibria receivable financing at

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P\&G extended its payment term to 105 days (from 60 days) while launching its Supply Chain Finance program. City Group offered Fibria receivable financing at U.S. dollar rate of 1.27% per annum for P&G 's invoices paid after five days through the SCF program. That is, the SCF program offered Fibria an option of 100 days of financing. How much could Fibria save through the P\&G SCF program in comparison with its original financing cost prior to the SCF program? Round the result to a whole number and show the key steps to receive partial credit

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