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Should you sell to this firm on credit

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Reference no: EM133008025

Question - A firm with sales of $10,000,000 has inventory of $1,000,000. The firm has no cash sales (all sales are on credit and are collected within 40 days). You are willing to sell inventory to the firm on credit provided that you will be paid within 60 days. Should you sell to this firm on credit?

Reference no: EM133008025

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