The Dream Corp has annual credit sales of $1.75 million. Current expenses for the collection department are $40,000, bad- debt losses are 0.75%, and the days sales outstanding is 30 days. The firm is considering easing its collection efforts such that collection expenses will be reduced to $18,000 per year. The change is expected to increase bad-debt losses to 2.5% and to increase the days sales outstanding to 50 days. In addition, sales are expected to increase to $2.0 million per year. Should the firm relax collection efforts if the opportunity cost of funds is 16%, the variable cost ratio is 75%, and taxes are 25%? Yes, profits grow by $19.860 No, profits fall by $19.075 O No, profits fall by $7.963 Yes, profits grow by $24,006