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Brilliant Corporation has the following data: Selling price per unit 40 Variable cost per unit 25 Annual unit credit sales 3,240 Collection period Opportunity cost
Brilliant Corporation has the following data: Selling price per unit 40 Variable cost per unit 25 Annual unit credit sales 3,240 Collection period Opportunity cost 20 days 8% Brilliant Corporation is considering easing its credit standards. If it does, sales will increase by 10%; collection period will increase to 25 days; bad debts losses are anticipated to be 5% of net credit sales; and collection costs will increase by P 1,500. Match each item to a choice What is the Average Accounts Receivable if the Days sales outstanding is 25 days? How much is the increase in the bad debts expense because of increase in sales? If the proposed relaxation in credit standards is implemented, how much is the net benefit (loss) for Brilliant Corporation? How much is the increase in the contribution margin? Choices: # 9,500 # 9,900 #648 #2,577 # 4,720 # 2,488 # 672 #4,860 635 2,632
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