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Taylor explains that WES has never taken advantage of the 1% discount that all their suppliers offer if they pay on day 10, as cash
Taylor explains that WES has never taken advantage of the 1% discount that all their suppliers offer if they pay on day 10, as cash has been tight. In the windmill industry, the invoices are usually 1/10 net 45. Now, that WES is looking at consolidating the short-term debt based on your recommended financing decision, it plans to get back "on track" and pay all their vendors on day 45. Advise Taylor on their approach to Accounts Payable discount, and if they should take advantage of the discount or not
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