Currently, Your fiRm Sells 440 Units a Month at a Price

question 108

Multiple Choice

Currently, your firm sells 440 units a month at a price of $90 a unit. You think you can increase your sales by an additional 200 units if you switch to a net 30 credit policy. The monthly interest rate is .7
Percent and your variable cost per unit is $55. What is the incremental cash inflow of the proposed
Credit policy switch?

• A) $7,000
• B) $9,000
• C) $11,000
• D) $16,000
• E) $18,000

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Cells

The basic structural, functional, and biological units of all living organisms, which can function independently or as part of an organism.

Human Body

The physical structure of a person, consisting of the head, neck, torso, two arms and two legs, and various internal organs.

Genetics And Experience

The interplay between an individual's genetic makeup and their life experiences in shaping behavior and characteristics.

Human Behaviour

The range of actions and mannerisms exhibited by humans in conjunction with their environment, culture, and societal norms.