Problem $7-24$

Reconsider Comiskey Fence. Assume the average collection period is $90$ days. All other factors are the same $($including $10$ percent uncollectible$).$

a$.$ Compute the return on incremental investment. $($Use $365$ days in a year. Do not round intermediate calculations. Round the fin answer to $2$ decimal places.$)$

Return on incremental investment $\%$

b$.$ Should credit be extended?

Yes

No