A company would like to offer their customers the option of paying electronically at the time of purchase, rather than the current terms of paying by…

A company would like to offer their customers the option of paying electronically at the time of purchase, rather than the current terms of paying by check on Day 45. Assuming an average cost of capital of 15%, what discount should they offer in order make the terms float neutral?

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *