QUESTION FOUR

Zip $($Pty$)$ Ltd$,$ a company involved in the haberdashery trade, have been experiencing cash flow problems and are looking at ways at managing its cash more efficiently. The payments of creditors have come under scrutiny and they are faced with the following scenario: One of its suppliers Buttons Ltd have offered them a cash saving incentive by allowing them a $2\%$ discount on all invoices paid within $20$ days. The usual payment terms are $30$ days for the full invoice value. Buttons Ltd has just issued an invoice of R$50000$ to Zip $($Pty$)$ Ltd$.$ The current short$-$term deposit interest rate is $15\%.$

Round your workings to the nearest rand.