If the firm's cash discount period is increased, the sales volume can be expected to__________ , thebad debt expenses can be expected to__________ , and the profit per unit can be expected to ___________.

Question

Quizplus · Accepted Answer

Increasing the cash discount period encourages more customers to pay early, potentially increasing sales volume. It also reduces bad debt expenses as more customers pay on time. However, offering discounts can decrease profit per unit.

If the Firm's Cash Discount Period Is Increased, the Sales