Required: a) A supplier has offered your company trade credit terms of 1/5, net 30. Interpret the terms of credit. [1 mark) b) Your company estimated the effective annual rate offered by one of its suppliers to be 10% p.a. What does the EAR represent? The firm can obtain a bank loan at 8% EAR. As CFO, how would you advise the firm to pay this supplier? Explain. 12 marks) c) What is a currency forward contract? Why do multinational firms use such contracts? [3 marks] (Type your answer into the answer box, NOT into the Notes box; uploading file is NOT accepted]