7. The three primary policy variables to consider when extending credit include all of the following except: * Credit standards. Terms of trade. O Collection policy. Level of inflation. O None of the above. 2 points 8. Which of the following is true regarding the contribution margin ratio of a single-product company? * As fixed expenses decrease, the contribution margin ratio increases. O The contribution margin ratio multiplied by the variable expenses per unit equals the contribution margin per unit. The contribution margin ratio increases as the number of units sold increases. If sales increase, the dollar increase in net operating income can be computed by multiplying the contribution margin ratio by the dollar increase in sales. None of the above. 10. When using the economic 2 points order quantity model: * Ordering costs increase as the level of inventory increases. Carrying costs decrease as the level of inventory increases. Costs are minimized when total carrying costs and total ordering costs are equal. All of the above. None of the above