Been working on this one awhile and am striking out. Suppose a firm purchases goods on credit with terms of 3/10, net 25.

Been working on this one awhile and am striking out. Any help is appreciated. Thx!

Suppose a firm purchases goods on credit with terms of 3/10, net 25. What is the cost of trade credit (APR) to the firm if it always pays its bill on Day 8 or sooner? In your computations, assume there are 360 days in a year.

74.23%