Xian Corporation predicts that if a customer pays on the first sale, it is assured that it is a reliable customer. As such, it expects that customer to generate a net profit of $700 per year for 10 years. Ajax calculates present value with a 9% rate of return. There is a 70% probability that Ajax will secure a reliable customer. However, if the customer defaults, Ajax will have to incur a loss of $800. Determine the expected benefit if credit is granted.

Using FedEx or UPS to deliver a formal report or proposal

A) is a waste of money—first-class mail is almost always preferable. B) is necessary only when sending the document overseas. C) will, in most cases, make you appear desperate. D) will be viewed as a careless use of money by the audience. E) allows you to track the report and ensure that it is delivered on time.

A detailed quarterly plan that states how many units of product each salesperson on the team needs to sell per month is an example of a(n) ________

A) business plan B) financial plan C) strategic plan D) functional plan E) operational plan