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Price Corp. is considering selling to a group of new customers and creating new annual sales of $130,000. 3% will be uncollectible. The collection cost

Price Corp. is considering selling to a group of new customers and creating new annual sales of $130,000. 3% will be uncollectible. The collection cost on all accounts is 5% of new sales, the cost of producing and selling is 81% of sales, and the firm is in the 20% tax bracket. What is the profit on new sales?

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