The New Trends&... Overview Plans Resources Status and follow-up Participants More Remaining time: 89:42 3 Question 1 "Strong Paper Co." is located in Romania. The company is making a trade of paper. The company manager is buying paper from Sweden. "Strong Paper has a very reputable and well known customer in Tunisia namely "Clean Paper". It is the only buyer he works with. The buyer always pays in time without any delay. "Strong Paper" is working with this client for almost 10 years and there is very good track record of him related to payments. "Strong Paper "is selling with credit terms of 30 days to his client in Tunisia and is purchasing paper from his supplier in Sweden with payment terms of 60 days. His customer in Tunisia approached him whether he could pay his invoice at 90 days instead of 30 days. There is stiff competition in the market for this buyer. (30 points) a) What might be the payment method they possibly agreed in their sales contract, based on the facts given in the above case. Pls mention about the tacts in the case (10 points) b) Pls. decide on behalf of "Strong Paper". Would you extend the credit period from 30 days to 90 days upon the request of the customer? Why or why not? 10 points) c) Pls.also explain what would be the impact of this decision on "Strong Paper" in terms of his financing needs ? Pls, explain. (10 points) Your answer: X, XHEHE Font Size BIU A- A.EE w o 4 o tv O MacBook Pro The New Trends&... Overview Plans Resources Status and follow-up Participants More Remaining time: 89:42 3 Question 1 "Strong Paper Co." is located in Romania. The company is making a trade of paper. The company manager is buying paper from Sweden. "Strong Paper has a very reputable and well known customer in Tunisia namely "Clean Paper". It is the only buyer he works with. The buyer always pays in time without any delay. "Strong Paper" is working with this client for almost 10 years and there is very good track record of him related to payments. "Strong Paper "is selling with credit terms of 30 days to his client in Tunisia and is purchasing paper from his supplier in Sweden with payment terms of 60 days. His customer in Tunisia approached him whether he could pay his invoice at 90 days instead of 30 days. There is stiff competition in the market for this buyer. (30 points) a) What might be the payment method they possibly agreed in their sales contract, based on the facts given in the above case. Pls mention about the tacts in the case (10 points) b) Pls. decide on behalf of "Strong Paper". Would you extend the credit period from 30 days to 90 days upon the request of the customer? Why or why not? 10 points) c) Pls.also explain what would be the impact of this decision on "Strong Paper" in terms of his financing needs ? Pls, explain. (10 points) Your answer: X, XHEHE Font Size BIU A- A.EE w o 4 o tv O MacBook Pro