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can someone help? Lewis Lumber is considering changing its credit terms from net 55 to net 30 to bring its terms in line with other

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Lewis Lumber is considering changing its credit terms from net 55 to net 30 to bring its terms in line with other firms in the industry. Currently, annual sales are 5468,000 , and the everage collection period (DSO) is 58 days. Lewis estimates tightening the credit terms will reduce anrual saics to 5462,000 , but accounts recelvable would drob to 38 days of sales. Lewis' variable cost ratio is 70 percent and its average cost of funds is 9 percent. should the change in credit terms be made? Assume all operating costs are pald at the time inventory is sold and al sales are collected at the 0SO. Assume there are 360 days in a yeor. 00 not round intermediate calculations. Round your answers to the nearent cent. The NPV for the existing credit policy, that is $, is the NPV for the proposed credit policy, thot is s change its credit policy

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