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Trash Waste Management Corp can borrow up to 75% of its current account receivables balance of $150,000 for 60 days. The annual interest rate would

Trash Waste Management Corp can borrow up to 75% of its current account receivables balance of $150,000 for 60 days. The annual interest rate would be 16 percent due at maturity. The lender also charges a service fee of 2% of the account receivables balance, which is due at maturity. What is annual cost of financing for Trash?

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