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Solar Engines manufactures solar engines for tractor - trailers. Given the fuel savingsavailable, new orders for 1 1 5 units have been made by customers
Solar Engines manufactures solar engines for tractortrailers. Given the fuel savingsavailable, new orders for units have been made by customers reguesting credit. Thevariable cost is $ per unit, and the credit price is $ each. Credit is extendedfor one period. The reguired return is percent per period. lf Solar Engines extendscredit, it expects that percent of the customers will be repeat customers and placethe same order every period forever and the remaining customers will be onetimeorders. Calculate the NPV of the decision to grant credit. Do not round intermediatecalculations and round your answer to decimal places, eg
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