Question Five a. Keckwick Ltd operates a chain of 14 showrooms that supply and fit bathrooms. The business has suffered in recent years, due to reduced customer demand, and the managing director has been in dispute with its key supplier Shanks Ltd around slow payment of invoices. Currently Shanks Ltd automatically offers standard terms of 40 days credit to all customers. As a result of the slow payment and dispute with Keckwick, Shanks Ltd has recently decided to offer credit terms of 1% discount for prompt payment within 25 days. Keckwick is currently taking 84 days to pay an invoice. Shanks Ltd supplied materials worth 16,800,000 to Keckwick in the most recent financial year, which represents 42% of all materials sold through Keckwick showrooms. Keckwick Ltd.'s bank provides overdraft finance to them at 13.25%. Required (i) Calculate the implied cost in interest of the discount offered by Shanks Ltd, showing your workings. (30 marks) (ii) Advise Keckwick Ltd if it should accept the offer of the discount for prompt payment within 25 days. (10 marks)