Your company is considering granting credit to a new customer. The variable cost per unit is RO 20, the current price is RO 25, and the monthly required return is 2.5%. What is the break - even...

Your company is considering granting credit to a new customer. The variable cost per unit is RO 20, the current price is RO 25, and the monthly required return is 2.5%. What is the break - even probability of default if we assume a repeat business? Interpret.