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A new customer has placed an order for a turbine engine that has a variable cost of $1.12 million per unit and a credit sales
A new customer has placed an order for a turbine engine that has a variable cost of $1.12 million per unit and a credit sales price of $1.64 million. Credit is extended for one period. Based on historical experience, payment for about 1 out of every 178 such orders is never collected. The required return is 2.1 percent per period. What is the NPV per unit if this is a one-time order? Multiple Choice 1 0 $516,407 0 $534,290 0 $421,819 0 $351,056 0 $477,244
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