If a company is given credit terms of 2/10, n/30, it should.

(A) pay within the discount period and recognize a savings.
(B) hold off paying the bill until the end of the credit period, while investing the money at 10% annual interest during this time.
(C) recognize that the supplier is desperate for cash and withhold payment until the end of the credit period while negotiating a lower sales price.
(D) pay within the credit period but don't take the trouble to invest the cash while waiting to pay the bill.

Magic realm, inc., has developed a new fantasy board game. the company sold 15,000 games last year at a selling price of $20 per game. fixed expenses associated with the game total $182,000 per year, and variable expenses are $6 per game. production of the game is entrusted to a printing contractor. variable expenses consist mostly of payments to this contractor.required: 1-a. prepare a contribution format income statement for the game last year.1-b. compute the degree of operating leverage.2. management is confident that the company can sell 58,880 games next year (an increase of 12,880 games, or 28%, over last year). given this assumption: a. what is the expected percentage increase in net operating income for next year? b. what is the expected amount of net operating income for next year? (do not prepare an income statement; use the degree of operating leverage to compute your answer.)