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

Royal, Inc., is considering a change in its cash-only sales policy. The new terms of sale would be net one month. The required return is .66 percent per month.

Current Policy New Policy
Price per unit $ 800 $ 800
Cost per unit $ 585 $ 585
Unit sales per month 860 930

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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