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data table in second pic :) Cash discount decisions Prairie Manufacturing has four possible suppliers, all of whic offer different credit terms. Except for the
data table in second pic :) Cash discount decisions Prairie Manufacturing has four possible suppliers, all of whic offer different credit terms. Except for the differences in credit terms, their products and services are virtually identical. The credt terms offered by these suppliers are shown in the following table EEB (Note: Assume a 365-day year) a. Calculate the approximate cost of giving up the cash discount from each supplier b. If the firm needs short term funds, which are currently available from its commercial bank at 8%, and if each of the suppliers is viewed separately which if any, of the suppliers' cash discounts should the firm give up? c. Now assume that the firm could stretch by 30 days its accounts payable (net period only) from supplier M. What impact, if any, would that have on your answer in part b relative to this supplier? a. The approximate cost of giving up the cash discountfrom supplier JiD% (Round to two decimal places) The approximate cost of giving up the cash discount from supplier Kis % (Round to two decimal places) The approximate cost of giving up the cash discount from supplier L is % (Round to two decimal places ) The approximate cost of giving up the cash discountfrom, supplier Mis % (Round to two decimal places) (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) SupplierCredit terms 1/15 net 50 EOM 3/30 net 80 EOM 1/10 net 60 EOM 4/20 net 120 EOM th sh Print Done
data table in second pic :)
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