When should credit standards be relaxed?
A. When sales are expected to increase.
B. When costs are expected to decrease.
C. When costs are expected to increase faster than sales if the standards are not relaxed.
D. When the profit contribution from sales is greater than the cost contribution.
Answer:D
When should credit standards be relaxed?
A. When sales are expected to increase. B. When costs are expected to decrease. C. When costs are expected to increase faster than sales if the standards are not relaxed. D. When the profit contribution from sales is greater than the cost contribution.