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Price Corp. is considering selling to a group of new customers and creating new annual sales of $120,000.3% will be uncollectible. The collection cost on

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Price Corp. is considering selling to a group of new customers and creating new annual sales of $120,000.3% will be uncollectible. The collection cost on all accounts is 3% of new sales, the cost of producing and selling is 76% of sales, and the firm is in the 18% tax bracket. What is the profit on new sales? Multiple Choice

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