Solved: Suppose deleons sales manager told the sales staff to start, Finance Basics

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Suppose deleons sales manager told the sales staff to start

Question: Suppose Deleon's sales manager told the sales staff to start offering 60-day credit terms rather than the 30-day credit terms now being offered. D'Leons competitors react by offering similar terms, so sales remain constant. What effect would this have on the cash account? How would the cash account be affected if sales doubled as a result of the credit policy change?

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Finance Basics: Suppose deleons sales manager told the sales staff to start

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