Question $9$

A firm buys on terms of $\frac{2}{15},$ net $30.$ It does not take discounts, and it typically pays $70$ days after the invoice date. Net purchases amount to $$720,000$ per year. What is the nominal

annual percentage cost of its non$-$free trade credit, based on a $365-$day year?

a$.21\mathrm{.}29\%$

b$.18\mathrm{.}62\%$

c$.13\mathrm{.}54\%$

d$.16\mathrm{.}56\%$

e$.14\mathrm{.}90\%$