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Rock Bottom purchases its inventory on trade credit with terms of 2/10 net 45. If the firm waits the full 45 days to pay for

Rock Bottom purchases its inventory on trade credit with terms of 2/10 net 45. If the firm waits the full 45 days to pay for the inventory, what is the effective annual rate of interest is the firm paying for its trade credit?

-23.45%

-16.22%

-20.00%

-17.81%

-20.86%

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