公司理财教学资料 chap018-020知识课件.pptVIP

* Lecture Tip: Students should recognize that a company would prefer to take as long as possible before paying bills. You might mention that accounts payable is often viewed as “free credit;” however, the cost of granting credit is built into the cost of the product. Note that the operating cycle begins when inventory is purchased and the cash cycle begins with the payment of accounts payable. * Payment of accounts: Q1: 125 + .5(600)/2 = 275 Q2: 150 + .5(650)/2 = 313 (rounded to nearest dollar throughout) Q3: 162 + .5(800)/2 = 362 Q4: 200 + .5(550)/2 = 338 * The company will need to access a line of credit or borrow short-term to pay for the short-fall in quarter 2, but it should be able to clear up the line of credit in quarter 4. * Short-term funds are borrowed at 12%, and interest is compounded quarterly. Short-term surpluses are invested at 2%, and interest is compounded quarterly. Q1 interest received = .15 rounds to 0 (i.e., 80-50 = excess cash = 30; 30*.02/4 = .15) Q2 interest received = .69 rounds to 1 Q3 interest paid = 1.14 rounds to 1 Q4 interest paid = .39 rounds to 0 * * * * * Cash discounts are designed to shorten the receivables period, however, you reduce your sales level when discounts are taken. * Perishable items have rapid turnover and low collateral value. Credit periods are therefore shorter. High demand products turn over faster and have shorter credit periods. Inexpensive goods and standardized goods have shorter credit periods. The higher the credit risk, the shorter the credit period. Small accounts have shorter credit periods. In highly competitive markets, longer credit periods may be offered to attract customers. Different credit terms may be offered to different buyer types. * * * * * * Credit scoring is less subjective than the five Cs, but firms have to be careful with the information they choose to include in the score, e.g. race, gender and geographic location cannot be included in the score * * Components of Credit Policy Te