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Category > Business & Finance Posted 20 Jun 2017 My Price 11.00

Devour, Inc., is considering a change in its cash only sales policy.

Devour, Inc., is considering a change in its cash only sales policy. The new terms of sale would be net one month. The required return is 0.94 percent per month.

  

  Current Policy New Policy
  Price per unit $ 1,080   $ 1,080  
  Cost per unit $ 890   $ 890  
  Unit sales per month   1,140     1,240  
 

  

Calculate the NPV of the decision to switch. (Round your answer to 2 decimal places. (e.g., 32.16))

  

  NPV $   

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Status NEW Posted 20 Jun 2017 06:06 AM My Price 11.00

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