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thuthuhan

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Active 5 years ago
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  • March 20, 2015 at 8:13 am #233412
    mysterythuthuhan
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    Can we add one more calculation like
    Cost of finance who do not take discount and pay in 60days
    $87.6M * 5.5% * 60/365 ?

    Then total cost would be $1011000 .

    Pls correct me if my thinking is wrong 😛

    March 20, 2015 at 2:12 am #233398
    mysterythuthuhan
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    In section C , Receivable Mgt
    why don’t we consider cost of short term finance 5.5% in calculation of cost section .
    75% of customer took 60days credit , do we need to finance for that 60days ?

    Thanks

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