A companys trade and other payables amount to $500,000, and annual purchasing costs for materials from suppliers
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How much cash would the company generate if it followed the 30-day policy? What if the firm negotiates a 40-day, or even a 60-day, payment term?
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Step 1 Purchases 10000000 27397 365 days 365 Step 2 Trade payables ...View the full answer
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