Urgent MC Question Finding Effective Annual Cost

Gazapizm Corporation is a manufacturing company and has estimated that they need $2,400,000 to put a new pump into operation. The company can finance the the new pump by delaying payment to its suppliers. Presently the company has a supplier which sells on credit with credit terms of 2/15, net 45 days. If the firm does not take the discount and pays on the 50th day, then what is the effective annual cost? (Assume a 365-day year.)

	1.	20.53%
	2.	23.45%
	3.	18.93%
	4.	16.71%