Further inrormation: By the end of this problem, you are required to establish the percentage difference in EAT between the old policy (e. before the proposed discount) and the new policy (ie, after the proposed discount). In other words: %AEAT - (EAT - EAT) * EAT Therefore, you proceed with calculating EAT for each discount policy as you normally would under the income statement framework. Remember that net sales - S sales - $ discount Moreover , interest expense - so when calculating EAT for the old policy li.e EBIT - EBT). W calculating EAT under the new policy: $int. exp. - (increase in acc.rec. increase in inv.) * interest %. The difference in receivables - acc. rec. after the proposed discount - acc rec before the proposed discount. This means that for each discount policy, you must multiply the avg collection period vg daily net sales. Similarly, the 5 difference in inventory - $ inv. after the proposed discount - $ inv. befc the proposed discount. Accordingly, you must divide EOQ + 2 then multiply the outcome the $ avg inventory cost per unit for both discount policy frameworks. I 96 (ROUND YOUR ANSWER TO 2 DECIMAL PLACES. FOR EXAMPLE: 17.23)