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Your firm has an average collection period of 26 days. Current practice is to factor all receivables immediately at a discount of 1.6 percent. What
Your firm has an average collection period of 26 days. Current practice is to factor all receivables immediately at a discount of 1.6 percent. What is the effective cost of borrowing in this case? (Do not round intermediate calculations. Enter your answer as a pecent rounded to 2 decimal places, e.g., 32.16.) Effective cost %
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