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A company that has a policy of making only cash sales is considering allowing customers to buy on credit. Which one of the following will

A company that has a policy of making only cash sales is considering allowing customers to buy on credit. Which one of the following will probably occur?

A) The accounts receivable will likely increase.

B) The change will provide a source of funds.

C) Total sales will likely decrease.

D) Net working capital will decrease if funding needs are met with long-term liabilities.

E) Expenses will decrease due to monthly billing and collection efforts.

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