Price corp is considering selling to a group of new, Financial Management

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Price corp is considering selling to a group of new

Price Corp. is considering selling to a group of new customers and creating new annual sales of $270,000. 4% will be uncollectible. The collection cost on these accounts is 3% of new sales, the cost of producing and selling is 84% of sales and the firm is in the 28% tax bracket. What is the profit on new sales?

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