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McLeod&Company |
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Incredible Investment Yields Go UntappedIs your organization's safest investment being ignored? Does your business take advantage of vendor's discounts? Typical discount: Pay in 10 days and get a 2% discount, or pay the full amount in 30 days. Financial opportunity: Convert the discount to an annual rate. There are eighteen 20-day periods in a year x 2% = 36% rounded). Financial opportunity lost: Use the formula below to determine the annual cost of not taking a discount.
For example, assume a 2% discount if paid in 10 days, net 30 days.
Start taking advantage of this meaningful investment opportunity if it is available. |
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Copyright © 2006 McLeod & Company. All rights reserved. |
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