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Accounts receivable are sometimes not collected.Why do companies extend trade credit when they could insist on cash for all sales?
Extending trade credit almost for all the time leads to more sales. If the incremental cash flows, comprising the investment in accounts receivable give a positive NPV the decision to extend trade credit would increase the value of the firm.
Develop and implement strategic plan using bounce fitness as case study
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discuss three approaches to short-term financing
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