Hello, Im having problems figuring out how to get the correct answer, could you please help me?
Fantastic news! We've Found the answer you've been seeking!
Question:
Hello, Im having problems figuring out how to get the correct answer, could you please help me?
Caren's Canoes is considering relaxing its credit standards to encourage more sales. As a result, sales are expected to increase from $255,000 to $293,250. The average collection period is expected to increase from 30 days to 40 days.The firm's cost for investments in accounts receivable is 20 percent.
Question: What is thecostof the additional investment in accounts receivable (assume a 360-day year)?
Posted Date: