What is the break-even probability of collection in the repeat-sales case? 2023 Business & Finance
2023 Locust Software sells computer training packages to its business customers at a price of 104 The
a-1.Calculate the profit or loss if the sale will not be made unless credit is extended. (Input the amount as a positive value. Do not round intermediate calculations.)
$
a-2.Should the firm extend credit if this is a one-time order?
b.What is the break-even probability of collection?
Break-even probability %
c-1.Calculate the present value of the sale. (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Present value $
c-2. Should credit be extended?
d.What is the break-even probability of collection in the repeat-sales case? (Round your answer to 2 decimal places.)
Break-even probability %
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