a) What is an alternative to calling the finance manager about collecting the bad debts from Jackson Foods? What effects will this alternative have on So Maple’s cash flow and amounts received? Henry and Judy did not agree to have an open account with Jackson Foods. What would be the disadvantages of So Maple having an open account with Jackson Foods? If Henry and Judy agreed to an open account, what steps could they take to ensure their profit margin is still achieved? Henry and Judy agreed for Jackson Foods to make a down payment on its order before they shipped it. What recommendations would you give to Henry and Judy about determining the selling price and payment options for Jackson Foods as a new international customer? 

b) Based on the new exchange rate, what would be the new Canadian equivalent that So Maple would be receiving for the outstanding balance? What suggestions do you have to help So Maple protect its profit margin against foreign exchange risk?

Answer rating: 100% (QA)

a i The alternative is that they could go a debt collection agency Basically the debt collectors would convince Jackson Foods to pay the outstanding a... View the full answer