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2. As a new account payable manager, you are being trained by the outgoing manager. She explains that the system prepares checks for amounts net
2. As a new account payable manager, you are being trained by the outgoing manager. She explains that the system prepares checks for amounts net of favorable cash discounts, and the checks are dated the last day of the discount period. She also tells you that checks are not mailed until five days later, adding that "the company gets free use of cash for an extra five days, and our department looks better. When a supplier complains, we blame the computer system and the mail room." Do you continue this payment policy?
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