SoGood Inc. had the following data for 2021 . The new CFO believes that the company could improve its working capital management sufficiently to bring its net operating working capital and cash conversion cycle up to the industry benchmark level without affecting either sales or the costs of goods sold. SoGood finances its net operating working capital with a bank loan at a 7% annual interest rate, and it uses a 365 -day year. a) If SoGood brings its working capital management practices and cash conversion cycle to the industry benchmark levels, by how much would the firm's pre-tax income have changed? (6 marks) b) Suppose SoGood's supplier offer trade credit terms of 1/10, net 30 . What is SoGood's nominal and effective annual percentage cost of its trade credit if SoGood adopts the industry standards of working capital management? (4 marks)