In Problem 15, what is the break-even price per unit under the new credit policy? Assume all

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In Problem 15, what is the break-even price per unit under the new credit policy? Assume all other values remain the same.


Data in Problem 15,

Fitzgerald Corp. currently has an all-cash credit policy. It is considering making a change in the credit policy by going to terms of net 30 days. Based on the following information, what do you recommend? The required return is .85 percent per month.

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Corporate Finance

ISBN: 9781260772388

13th Edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe

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