Problem 20-14 Credit Policy Evaluation [LO2]

The Snedecker Corporation is considering a change in its cash-only policy. The new terms would be net one period. The required return is 1.6 percent per period.

	Current Policy			New Policy
Price per unit	$	62		$	64
Cost per unit	$	34		$	34
Unit sales per month		2,600			2,720

Calculate the NPV of the decision to change credit policies. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

NPV

$