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Price Corp. is considering selling to a group of new customers and creating new annual sales of $240,000. 3% will be uncollectible. The collection cost
Price Corp. is considering selling to a group of new customers and creating new annual sales of $240,000. 3% will be uncollectible. The collection cost on all accounts is 6% of new sales, the cost of producing and selling is 78% of sales, and the firm is in the 18% tax bracket. What is the profit on new sales? Multiple Choice $25,584 $26,712 O $27,762 O 526,871 $26.871
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