Working Capital Management Concepts Worksheet

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Catalina R


Date added:

May 15, 2016








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3 / 821


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|the final date, it is common to offer| | |Lawrence may want to change their term of sale for future purchases. “ A |a cash discount for prompt | | |seller may allow more extended payment if its customers are in a low-risk, if|settlement. You have decided on the | | |their account is large, if they need time to check their quality of the |contract that customers must sign; | | |goods, or if the goods are not quickly resold” (Brealey, & et al, p...
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|and you have established a procedure | | | |for estimating the probability that | | | |they will pay up” (Brealey, & et al, | | | |p. 814). | | | | | |Cash flow |Cash flow is the total from cash receipts less any payments which was made |“You cannot pay bills with inventory | | |over time...
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