When Analyzing the NPV of a Decision to Change Cash

question 50

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 the above would probably be considered.

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