When Analyzing the NPV of a Decision to Change Cash

question 30

Multiple Choice

When analyzing the NPV of a decision to change cash discounts,the firm would probably not consider:

• A) the size of the discount.
• B) the expected change in the order size.
• C) the firm's cost of debt.
• D) the expected change in sales due to the cash discount policy change.
• E) All of these would probably be considered.

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