The point at which the incremental cost of investing in accounts receivables is just offset by the cash inflows created by the incremental sales is the point at which the firm has achieved the optimal:

A) Selling price per unit.
B) Allocation of fixed costs.
C) Net profit per unit.
D) Level of inventory.
E) Credit policy.

Incremental Cost

The additional cost incurred to produce one more unit of a product or service.

Accounts Receivables

The money owed to a company by its customers for goods or services that have been delivered or used but not yet paid for.

Cash Inflows

Money or value entering a company, often from operations, financing, or investing activities, contributing to the company's cash position.