You are considering setting up a booth at a street fair in a town not far from where you are located. Any sale you make will be a one$-$time sale. There is only a $50$ percent chance that you will collect your money on a credit sale. The product you want to sell has a variable cost of $$3\mathrm{.}90$ and a sales price of $$5\mathrm{.}00.$ The monthly interest rate is $1\mathrm{.}5$ percent. Should you offer people $30$ days to pay? Why or why not?

Question $8$ options:

Yes; because you will earn $$\mathrm{.}98$ on every credit sale you make.

Yes; because you will earn $$1\mathrm{.}44$ on every credit sale you make.

No; because the net present value of the potential sale is $-$$$1\mathrm{.}44.$

No; because the net present value of the potential sale is $-$$$\mathrm{.}98.$

It doesn't matter; because the present value of the potential sale is $$0.$