$10.$ Your firm is considering a new credit policy. While its current policy is cash only, the new policy would involve extending credit for one period. Based on the following information determine if a switch is advisable if the interest rate is $2\mathrm{.}0$ percent per period.

Current Policy New Policy

Price per Unit Tshs $1,750$ Tshs $1,750$

Cost per Unit Tshs $1,300$ Tshs $1,300$

Sales per Period $($Units$)10,00011,000$