ACCT Company has had significant bad debts in previous years. To eliminate the risk of bad debts,

Question:

ACCT Company has had significant bad debts in previous years. To eliminate the risk of bad debts, the accounting manager of ACCT Company has recommended to the sales manager to make only cash sales. The sales manager does not think this is the best business decision. Do you agree or disagree with the sales manager? What do you recommend the company do to reduce the risk of bad debts?