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Calculate the cremental profit and loss after tax

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Fash fashion era is considering extending credit to some customers who may at ridk (defaulting in payment).sales will increased by R400000 of credit is granted to these customers. From the New accounts receivables generated 12% is expected to be uncollectibLe ,addition cist will be 4% of sakes and the production and selling cost will be 70% of the sales.the firm is in the 30%tax bracket.

Calculate the cremental profit and loss after tax?

Reference no: EM131819457

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