working capital management?

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April 29, 2010 at 12:30 am #43665

christy
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when calculating whether or not accepting a discount is viable the cost of debt…………is it the cost of using trade credit as a source of finance?

April 29, 2010 at 4:47 am #59780

John Moffat
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I am a bit confused by your question.

The cost of not taking the discount from suppliers is effectively the cost of using trade credit as a source of finance.

John
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