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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 tractor-trailers. Given the fuel savingsavailable, new orders for 115 units have been made by customers reguesting credit. Thevariable cost is $8,800 per unit, and the credit price is $10.750 each. Credit is extendedfor one period. The reguired return is 1.4 percent per period. lf Solar Engines extendscredit, it expects that 35 percent of the customers will be repeat customers and placethe same order every period forever and the remaining customers will be one-timeorders. Calculate the NPV of the decision to grant credit. (Do not round intermediatecalculations and round your answer to 2 decimal places, e.g.,32.16.)

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