You will use the following information to answer two questions.

Memorial Hospital purchases $$10,000,000$ in medical supplies from Consolidate Supplies. The terms of purchases are $3/10$ net $30.$ Currently Memorial is paying Consolidated the full amount due on day $30$ but is considering taking the discount by paying on day $10.$ Memorial can obtain a bank loan with a $8\%$ annual interest rate.

What is the true cost of the supplies? Use the format X$,$XXX$,$XXX$.$XX$.$

What is the amount of free trade credit that Memorial obtains from Consolidated assuming $360$ days per year? Use the format X$,$XXX$,$XXX$.$XX$.$

What is the amount of costly trade credit? Use the format X$,$XXX$,$XXX$.$XX$.$

What is the approximate annual interest rate of the costly trade credit?