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Early settlement discount

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Early settlement discount

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by John Moffat.
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    Posts
  • November 23, 2018 at 4:05 am #485556
    toushiga
    Participant
    • Topics: 424
    • Replies: 172
    • ☆☆☆☆

    Hello Tutor ,I have an inquiry about a PYq dec 2013 Q3 part (b),PLOT CO

    “Product Q trade payables after discount = 456,000 x 1 x 0·99 x 30/365 = $37,105”

    Can I calculate without taking into account of early settlement discount?as the bpp textbook ignore the discount to calculate the trade payable.
    Thank you.

    November 23, 2018 at 9:23 am #485588
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54655
    • ☆☆☆☆☆

    Yes you can (as I do state in my lectures). The examiner allows either.

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