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a firm is evaluating an account receivable change that would increase bad debts from 2% to 4%. sales are currently 70,000 unites. the selling price

a firm is evaluating an account receivable change that would increase bad debts from 2% to 4%. sales are currently 70,000 unites. the selling price is 40 per unit. and the variable cost per unit is 18. as a result of the proposed change, sales are expected to increase to 85,000. what is the amount of increase in bad debts with proposed change?

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