You Are Considering a Temporary Opening of a Kiosk in the Local

You are considering a temporary opening of a kiosk in the local mall. Any sale you make will be a one-time sale. There is only a 45 percent chance that you will collect your money on a credit sale.
The product you want to sell has a variable cost of $4.10 and a sales price of $5.75. The monthly
Interest rate is 1.3 percent. Should you offer people 30 days to pay? Why or why not?

A) Yes; because you will earn $2.23 on every credit sale you make.
B) Yes; because you will earn $5.68 on every credit sale you make.
C) No; because the net present value of the potential sale is -$1.55.
D) No; because the net present value of the potential sale is -$.98.
E) It doesn't matter; because the present value of the potential sale is $0.