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Red Hawk, Incorporated, is considering a change in its cash-only sales policy. The new terms of sale would be net one month. The required return

Red Hawk, Incorporated, is considering a change in its cash-only sales policy. The new terms of sale would be net one month. The required return is .95 percent per month.

Current Policy New Policy
Price per unit $ 485 $ 485
Cost per unit $ 365 $ 365
Unit sales per month 920 975

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

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