Question: Someone gave this question /answer a thumbs down. Is b not the correct answer??? Analysis suggests that Jumpda LLC will pay a bill with the
Someone gave this question /answer a thumbs down. Is "b" not the correct answer???
Analysis suggests that Jumpda LLC will pay a bill with the probability of 23.00%. They want to order 2,000 boxes of kitty litter at a net price per box of $46.00. Each box costs your company $27.00. You believe that the buyer (Jumpda LLC) will be a regular customer in the future, what is the expected Net Present Value of extending this credit? Use a discount rate or required rate of return of 5.00%.
a. -39832 b. -32840 c. 381620 d. 133220 e. 572780
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