Problem 7-20 Credit policy decision with changing variables (LO7-4) Slow Roll Drum Co is evaluating the extension of credit to a new group of customers. Although these customers will provide $468,000 In additional credit sales, 11 percent are likely to be uncollectible. The company will also incur $17,700 in additional collection expense. Production and marketing costs represent 76 percent of sales. The firm is in a 30 percent tax bracket. No other asset buildup will be required to service the new customers. The firm has a 10 percent desired return. Assume the average collection period is 120 days. a. Compute the return on incremental investment (Input your answer as a percent rounded to 2 decimal places. Use a 360-day year) Return on incremental investment 18.64%