karen kimosop wishes to apply NPV analysis to a newly recieved order the company's credit terms are net 60 days , the opportunity cost of fund s is 18 percent the order is for 3.0million she finds out from the managerial accounting department that variable costs are approximately

70 percent of sales and that incremental credit adminstration and collection costs approach 2% of sales

required:

A) assuming with perfect certainty that the customer will pay according to the credit terms should karen approve the order?

how do credit managers set credit limits for customers?