Assume Atlantic Fish sells 3,200 pounds of fish per month at a price of $2.90 a pound.
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Assume Atlantic Fish sells 3,200 pounds of fish per month at a price of $2.90 a pound. The variable cost per pound is $2.22. Currently, the firm has a cash-only sales policy. The firm is considering changing to a net 30 credit policy. The monthly required return is 1.2 percent. What does the new level of sales need to be to break-even on the switch?
3,219.40 pounds | ||
3,489.67 pounds | ||
3,370.44 pounds | ||
170.44 pounds | ||
119.40 pounds |
Related Book For
Fundamentals of corporate finance
ISBN: 978-0073382395
9th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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