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Management of working capital Chapter 5- Receivables and paybles

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March 15, 2017 at 11:49 am #378335
rakhi2rakhi
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Sir i have a doubt in chapter 5 example 2 of course not. If after offering discount of 1% the sales goes up to by 22million instead of 20million per year, everything else remains the same. How is that accounted for ?
March 15, 2017 at 4:13 pm #378365
John Moffat
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When calculating the costs and benefits, then there will be an additional benefit of the extra contribution being earned from the additional sales.
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