subject
Business, 14.09.2021 14:10 destinycasillas

Dome Metals has credit sales of $162,000 yearly with credit terms of net 30 days, which is also the average collection period. Assume the firm adopts new credit terms of 2/15, net 30 and all customers pay on the last day of the discount period. Any reduction in accounts receivable will be used to reduce the firm's bank loan which costs 8 percent. The new credit terms will increase sales by 20% because the 2% discount will make the firm's price competitive. a. If Dome earns 25 percent on sales before discounts, what will be the net change in income if the new credit terms are adopted

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 09:30
When you hire an independent contractor you don't have to pay the contractors what
Answers: 3
question
Business, 22.06.2019 17:20
David burdick is the ceo of acme bubblegum, a successful public company. as one of the cofounders of the company, burdick has enjoyed speaking and writing about the success of acme bubblegum for several years. typically, he speaks at conferences or directly to the press, but recently, he has been blogging about his firm anonymously. specifically, he defended a recent advertising campaign that was unpopular among consumers and pointedly attacked one of acme bubblegum’s competitors. burdick deeply enjoys his anonymous blogging and believes that none of his readers actually know that he works for acme bubblegum.should burdick be allowed to praise his company’s performance anonymously online? should he be allowed to attack his competitors without disclosing his relationship with the company? how would you feel if the ceo of a company at which you shopped was secretly writing criticisms of his or her competition? how would you feel if you knew a writer for your favorite blog was actually closely involved in a company that the blog discussed? 1. define the ethical issue? 2. who are the primary stakeholders? 3. what are the possible alternatives? 4. how could you evaluate the ethical implications of the alternative actions (use appropriate decision rules)? 5. what action would you recommend and why?
Answers: 3
question
Business, 23.06.2019 00:00
Both renewable and nonrenewable resources are used within our society. how do the uses of nonrenewable resources compare to the uses of renewable resources?
Answers: 1
question
Business, 23.06.2019 01:30
Which of the following is considered part of a country’s infrastructure?
Answers: 1
You know the right answer?
Dome Metals has credit sales of $162,000 yearly with credit terms of net 30 days, which is also the...
Questions
question
Mathematics, 26.10.2019 11:43
question
Advanced Placement (AP), 26.10.2019 11:43
question
Biology, 26.10.2019 11:43
question
Mathematics, 26.10.2019 11:43
Questions on the website: 13722359