High Time s suppliers tend to offer generous terms of trade credit 12/30, n902, but High Time can…

 
   

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High Time s suppliers tend to offer generous terms of trade credit 12/30, n902, but High Time can also issue commercial paper, receive $0.978, and repay $1.00 at the end of 60 days. What are the compound interest rates offered by the two alternatives? What would be the impact if High Time s suppliers changed the terms to n30?