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, Currenty, anrwial sales arn $522,000, and the average collection period (DSO) is 56 doy. Lews estimatos tightening the credit terms will recuce annual sales ta ssi6, 000, tut acoounts recerabie Would drop to 39 days of sales. Lewis' variable cost ratio is 65 percent and its average cost of funds is is percent. Sneule the change in creat terms be made? Asuame all operating costs are paid at the time inventery is sold and an sales are collected at the 0so, Astume there are 360 dars in a year. Do rot rouna intermediati colculations, Round your answers to the nearest cent. The NPy for the existing credit policy, that is 5 U the NPV for the proposed crect policy, that is 3 Thus, Lewis Lumber change its credit policy