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7. Scammer Industries, Inc. uses 97,820 units of inventory every year. It generally takes seven days for the company to order and receive new inventory. Scammer likes to keep an additional seven days of inventory as safety stock. The company should place an order for new inventory when its stock reaches what point? A. 268 B. 1,876 C. 3, 752 D. 97,820 E. None of the above 8. There can be aonflict of interest in many businesses concerning credit policy towards customers because A. Treasury and collections managers prefer easier credit terms B. Sales and marketing managers prefer tight credit terms C. Purchasing managers prefer tight credit terms D. Top management prefer cash-only credit policies E. None of the above 9. What are the advantages of tight credit standards? A. Higher sales B. Lower bad debt expense C. Lower investment in accounts receivable D. Both B and C E. None of the above 10. When calculating a firm's investment in accounts receivable, it is common to use the firm's A. Variable cost B. Fixed cost C. Total cost D. Tax basis cost E. None of the above