Fresno, Inc. has monthly sales of 280 units with a sales price of $38 per unit and a variable cost per unit of $16. Currently, the firm has a cash only policy. Jim, the firms financial manager, estimates the firm can sell an additional 25 units per month if the firm would switch to a net 30 credit policy. The monthly interest rate is .3 percent. What is the net present value of the switch if you ignore taxes?

$200,333

$172,293

$194,373

$164,033