If average level of receivables is Rs 40,000. The factor charges 2% commission and provides advances up to 75% of the receivables for 90 days at 12% interest rate. Find the net cost of factoring or...

If average level of receivables is Rs 40,000. The factor charges 2% commission and provides advances up to 75% of the receivables for 90 days at 12% interest rate. Find the net cost of factoring or the effective rate of advances provided by the factor.